Following Yageo's announcement on August 21, 2025, that it has increased its tender offer bid (TOB) for Shibaura Electronics to JPY6,635 (US$44.64) per share, up from JPY6,200, Japanese competitor MinebeaMitsumi declared it will not raise its offer beyond JPY6,200 per share, report Nikkei and Reuters.
The acquisition battle for Shibaura Electronics has intensified over the past weeks, following initial bids from both Yageo and MinebeaMitsumi. MinebeaMitsumi had matched Yageo's previous bid of JPY6,200 on August 14. Yoshihisa Kainuma, chairman and CEO of MinebeaMitsumi, described the acquisition as a "once-in-a-lifetime opportunity" but justified maintaining the bid at JPY6,200, calling it a reasonable cap under current conditions. Kainuma added that if Yageo raised its bid by only JPY200-300, they might have contested further.
MinebeaMitsumi stops escalating bid amid strategic concerns
However, Yageo's latest bid hike has led MinebeaMitsumi to cease any further price increases. The company emphasized its decision to avoid confusing shareholders by sticking to the JPY6,200 price point. MinebeaMitsumi also stated it would not extend the TOB deadline past August 28 unless legally obliged to do so. The protracted TOB process has included several deadline extensions, which MinebeaMitsumi attributes to complications from its own stock repurchase program, negatively affecting other strategic investments.
Meanwhile, Yageo awaits clearance from Japan's Foreign Exchange and Foreign Trade Act (FEFTA) review. The review period has been extended twice, with the current deadline set for September 1. Should Yageo pass this regulatory hurdle, MinebeaMitsumi's fixed bid may compel it to consider alternative countermeasures.
Uncertainty looms over regulatory review and deal completion
MinebeaMitsumi has expressed concern over the repeated delays in Yageo's regulatory review, describing the extensions as highly unusual and casting doubt on the likelihood of Yageo's bid succeeding. Yageo refuted these claims in a statement released on August 22, characterizing MinebeaMitsumi's remarks as unfounded speculation by outsiders not involved in the review process. Yageo stated that the remaining issues under review have been narrowed to a few specific points and committed to providing timely and proactive updates within the constraints of legal disclosure.
The outcome of this competitive acquisition battle remains uncertain, with both companies maintaining firm positions. Stakeholders will be closely watching whether Yageo can secure the necessary approval and what strategic moves MinebeaMitsumi might employ in response. The result will significantly impact the direction of Shibaura Electronics amid a shifting global semiconductor landscape.
Article edited by Charlene Chen
