Latest Tokyo Brief coverage on ITOCHU Corporation, tracking filings, financial news, and market signals from Japan.
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Dentsu Group has agreed not to tender its 61.76% founding stake in Dentsu Soken to VIC's planned November tender offer, backing a squeeze-out that would take the IT consultancy private with Itochu Corporation as the bidder's parent.
Itochu Corporation and Norinchukin Bank funded ¥12bn of new non-voting Tokyo Century class shares on September 18, but a same-day cut to capital and capital reserves swept the whole amount into other capital surplus, leaving the company's formal capital figures unchanged from before the deal.
ITOCHU reported zero shares repurchased in August under its ¥300bn buyback because it chose a ¥1,813-a-share tender offer for up to 82.7mn shares that ran from August 4 to September 1, with purchases booked on a contract-date basis.
Dentsu Group has pledged not to tender its majority stake into VIC LLC's planned takeover of Dentsu Soken, teeing up a share-consolidation squeeze-out once the tender offer, targeted for early November, settles.
ITOCHU Corporation closed a tender offer for its own shares that drew more applications than it wanted, prorating the deal down to 82.7 million shares at ¥1,813 each, and now shifts the remaining roughly ¥150bn of its ¥300bn buyback authorization to purchases on the Tokyo Stock Exchange through January 2027.
Tokyo Century has signed a final deal to sell 50% of Aviation Capital Group, its wholly owned US aircraft lessor, to related-party shareholder Itochu, and the resulting one-off gain, guided at roughly ¥50bn consolidated, stays unconfirmed until competition regulators clear the November closing.
Itochu will buy out Dentsu Soken's minority shareholders and fold the IT consultancy into a joint venture with Dentsu Group, which keeps its 61.78% stake rather than selling.
ITOCHU Corporation says a Nikkei report of a planned tender offer didn't come from the company itself, but confirms its board is meeting the same day and will disclose any decision it reaches, promptly.
ITOCHU has offered ¥2,880 for every Dentsu Soken share not already held by parent Dentsu Group, and the IT consultancy's board is already recommending investors accept.
An Itochu-controlled vehicle has offered ¥2,880 a share for Dentsu Soken, with parent Dentsu Group keeping its 61.78% stake instead of selling out, and the company plans to cancel its year-end dividend if the tender offer succeeds, matching the deal's pricing assumptions.
The trading house priced three unsecured bond tranches from 2.113% to 3.190%, with the entire ¥86.6bn net proceeds earmarked for general working capital.