Nippon Active Value targets Sakai Ovex – Nippon Active Value Fund owns a 5%+ stake in Sakai Ovex (no. 3408, listed on the first section of the Tokyo Stock Exchange). Today, the fund’s manager (Rising Sun Management) has sent a proposal to Sakai Ovex Co proposing that its board consider a management buyout of the whole company. This would be backed in part by Nippon Active Value Fund.
The offer would be priced at Yen 2,350 per share, a 12 per cent. premium to the closing bid price of the shares on 25 November 2020, valuing Sakai Ovex at approximately £103m. The company would then be de-listed from the Tokyo Stock Exchange.
Sakai Ovex creates fabrics from man-made (polyester and nylon) fibres – weaving, knitting, dyeing, finishing and printing these. It is also developing a carbon fibre business, which would be used in fields such as aerospace, building, civil engineering, transportation and shipbuilding rather than apparel. The technology behind this business is owned by Fukui Prefecture (its home city in Japan).
[I think we can say that this is a first for the sector, it will be interesting to follow the progress of this proposal and hear more of the rationale for it. We’ll look out for updates and bring them to you when we can.]
NAVF : Nippon Active Value targets Sakai Ovex