M&A

4 November, 2009

Panasonic to launch tender offer for Sanyo on Nov 5

TOKYO, Nov 4 (Reuters) - Japan's Panasonic Corp (6752.T) said it would launch a tender offer for shares in Sanyo Electric Co (6764.T) on Thursday, moving closer to becoming a powerhouse in hybrid car batteries and other green-energy businesses through the bid worth at least 402.3 billion yen ($4.45 billion).

Panasonic said it would offer 131 yen per Sanyo share and aim for a majority stake in the world's largest rechargeable battery maker, reiterating its announcements late last year when the company first made public its intention of taking over Sanyo.

The offer price is down sharply from Sanyo's closing price on Wednesday of 216 yen.

But all three of Sanyo's top shareholders -- Goldman Sachs (GS.N), Daiwa Securities SMBC and Sumitomo Mitsui Banking Corp, which bought Sanyo shares at a lower price -- have agreed to sell part of their stake into the tender, ensuring that Panasonic would acquire more than half of Sanyo. (Reporting by Kiyoshi Takenaka)

Source: http://www.reuters.com