Yageo Eyes Shibaura Acquisition with Public Tender Offer
Deal News | Feb 05, 2025 | EIN
Yageo Corp, a leading Taiwanese supplier of passive components, has announced its intention to fully acquire Japan's Shibaura Electronics Co through a public tender offer set to launch on May 7. With an offer price of 4,300 yen per share, representing a 37% premium, Yageo aims to secure full ownership of Shibaura, the world's largest supplier of thermistors. This acquisition is part of Yageo's strategy to expand its sensor business, which currently contributes 9% of its revenue. This would mark the company's second significant acquisition in the sensor sector, following its purchase of Schneider Electric's sensor unit. Yageo plans to complete the acquisition by the third quarter, contingent upon acquiring at least 50% of Shibaura's shares and obtaining necessary regulatory approvals. The acquisition aligns with Yageo's broader goal of becoming a premium passive components supplier.
Sectors
- Electronics & Electrical Components
- Mergers & Acquisitions
Geography
- Taiwan – Yageo Corp is headquartered in Taiwan, a key location for the company's operations and strategic planning.
- Japan – Shibaura Electronics, the acquisition target, is based in Japan, highlighting the geographical focus of the transaction.
Industry
- Electronics & Electrical Components – The article involves Yageo Corp, a major supplier of passive electronic components, and Shibaura Electronics, a leading thermistor manufacturer.
- Mergers & Acquisitions – The article discusses a potential acquisition of Shibaura Electronics by Yageo Corp, reflecting business strategy and expansion through M&A.
Financials
- 65.57 billion yen (US$429.37 million) – The maximum amount Yageo is willing to pay for the complete acquisition of Shibaura Electronics.
- 4,300 yen per share – The offer price per share of Shibaura Electronics, representing a 37% premium over its current market price.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Yageo Corp | Bidding Company | Company | A leading supplier of passive components, seeking to expand its sensor business through strategic acquisitions. |
| Shibaura Electronics Co | Target Company | Company | The world's largest supplier of thermistors, targeted by Yageo for acquisition. |
| Yageo Electronics Japan | Subsidiary | Company | A wholly owned subsidiary of Yageo Corp responsible for executing the tender offer in Japan. |