Taipei: Taiwan’s Yageo Corp., the world’s third-largest producer of multilayer ceramic capacitors, has announced that its tender offer to acquire Japan-based Shibaura Electronics Co. has significantly surpassed the required threshold of 50.01 percent of shares, positioning the company for a complete acquisition.
According to Focus Taiwan, Yageo revealed that since the tender offer commenced in May, it has secured an 87 percent stake in Shibaura as of 2 p.m. Friday, Japanese time. This exceeds the necessary 50.01 percent stake, approximately 7.62 million shares, in the Japanese company. Yageo views this development as a strategic milestone in its goal to fully integrate Shibaura under its corporate structure, underscoring its commitment to the Japanese market and its broader global expansion ambitions.
The initial deadline for the tender offer was set for Friday, but Yageo has extended it to October 20, with the acquisition expected to conclude in the fourth quarter of this year. The tender offer began on May 9, with Yageo proposing a purchase price of 6,200 Japanese yen (US$42.06) per share, marking a 14.8 percent increase from a prior offer of 5,400 yen. This move was in response to a competing bid from Japanese company MinebeaMitsumi Inc., which had raised its offer to 5,500 yen from an initial 4,500 yen.
In the face of MinebeaMitsumi’s increasing bids, Yageo adjusted its offer, raising it to 6,635 yen on August 21 and subsequently to 7,130 yen on August 23. The company has also extended the tender offer deadline multiple times to adhere to Japanese regulatory requirements.
On September 16, Shibaura publicly endorsed Yageo’s tender offer, following Yageo’s receipt of foreign direct investment clearance from Japanese authorities on September 2. Yageo, established in 1977, has been actively expanding through acquisitions, with a focus on developing high-end passive components.
Notable past acquisitions by Yageo include the purchase of U.S.-based Pulse Electronics Corp. for NT$22 billion (US$723 million) in 2018, enhancing its status in the MLCC market, and the acquisition of American firm Kemet Corp. for US$1.64 billion in 2020. In 2023, Yageo further expanded its specialty electronics component business by acquiring Schneider Electric’s French-based Telemecanique Sensors in a deal valued at 686 million euros (US$803 million).
