Top Japanese venture capital firm JAFCO cancels massive buyback plan
08/12/2022 24:59
TOKYO, Dec 8 (Reuters) - Japan's top venture capital
firm, JAFCO Group Co Ltd 8595.T , said on Thursday it would
cancel a $300 million buyback, because its stock price had
lately been lower than levels at which activist shareholders had
agreed to tender their shares.
JAFCO had planned to buy back shares worth 42 billion yen
($301 million) through a tender offer to allow a group of
shareholders backed by prominent activist investor Yoshiaki
Murakami to exit their combined stake of 19.53%. urn:newsml:reuters.com:*:nL4N32L281
Since the tender offer announcement, its shares have traded
below 2,525 yen, the lower end of an agreed range.
The investor group had agreed to sell all of their stake at
a 1% discount to the volume-weighted average market price from
Nov. 30 to Dec. 7, but that average had to be within the agreed
range, JAFCO said. The company would continue discussions with
the group, it added.
($1 = 137.6000 yen)
(Reporting by Makiko Yamazaki; Editing by Bradley Perrett)
((Makiko.Yamazaki@thomsonreuters.com; +81-3-4563-2805;))