Bain Capital Launches Tender Offer for Yukiguni Maitake

Niigata, Feb. 24 (Jiji Press)--U.S. investment fund Bain Capital Partners LLC on Tuesday announced the launch of a tender offer for shares in major Japanese mushroom producer Yukiguni Maitake Co. <1378>. The management of the company, based in Minamiuonuma, Niigata Prefecture, central Japan, expressed its support for the tender offer that will last until April 6. Bain Capital will buy Yukiguni Maitake shares at 245 yen apiece. The fund is aiming to acquire all outstanding shares in Yukiguni Maitake. The cost of buying all shares will reach 8.8 billion yen. The Yukiguni Maitake management team is in a feud with members of the company's founding family, including former President Yoshinobu Odaira. The management team and creditor banks for Yukiguni Maitake are aiming to rebuild the company's operations by curbing the influence of Odaira. Daishi Bank <8324>, a regional lender, and five other creditor banks have agreed to sell a combined 51.44 pct stake in Yukiguni Maitake to Bain Capital in the tender offer partly by exercising their lien rights on Yukiguni Maitake shares held by the founding family that have been put up as loan collateral. Odaira stepped down as Yukiguni Maitake president in November 2013 following the revelation of illicit accounting practices at the company. Former Aeon Co. <8267> executive Mitsuo Hoshina succeeded Odaira. At a general shareholder meeting in June 2014, however, Hoshina was removed, and former Honda Motor Co. <7267> official Katsuro Suzuki was selected as new president by a majority vote by the founding family side led by Odaira. Yukiguni Maitake is listed on the second section of the Tokyo Stock Exchange. END