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Kirin Sets Up Standing Panel on Takeover Defense |
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Friday, 30 May 2008 |
TOKYO: Major Japanese beer and beverage group Kirin Holdings Co. has established a standing committee on corporate value as part of its efforts to guard against possible hostile takeover attempts, Jiji Press learned Thursday.
The panel will collect information on merger and acquisition activities and study measures to enhance the group's corporate value, Kirin Holdings president Kazuyasu Kato said.
"Kirin needs to manage its business in such a way as to make shareholders prefer its management team over those attempting to buy the group," Kato said.
By using the panel, Kirin will always be working to enhance its corporate value, Kato said, expressing his hope that such efforts will help discourage takeover attempts.
It is rare for a Japanese company to have a standing panel focusing on such areas, according to M&A consulting firm Recof Corp.
Meanwhile, Kato said Kirin will not introduce takeover defense measures requiring acquirers to disclose information before they take preset percentages of equity stakes.
Takeover defense measures are becoming popular in Japan. As of Wednesday, 570 listed companies have such measures in place, according to Recof.
Among other beer makers, Asahi Breweries Ltd. and Sapporo Holdings Ltd. have such steps.
Meanwhile, some companies have abolished their defense measures out of concern that their stock prices could fall if investors oppose the measures and sell their shares. In such event, the companies could face greater takeover risks.
Kirin's standing panel is headed by vice president Kazuhiro Sato. Other members are officials in charge of finance and legal affairs. If Kirin faces a hostile takeover attempt, the panel will nominate outside experts and study takeover defense measures.
(C) 2008 Jiji Press English News Service. via ProQuest Information and Learning Company; All Rights Reserved |
