Finance
Toyota Industries' shares hit record on sweetened bid, Elliott's response awaited
Published by Global Banking and Finance Review
Posted on January 15, 2026
Toyota Industries Shares Soar Following Enhanced Bid from Toyota Motor
Impact of Revised Bid on Toyota Industries
By Daniel Leussink
Market Reaction and Share Performance
TOKYO, Jan 15 (Reuters) - Shares of forklift maker Toyota Industries surged to a record high on Thursday after a sweetened bid from Toyota Motor, trading slightly above the new offer on hopes that a better price might be forthcoming.
Investor Sentiment and Activist Response
The initial deal to take Toyota Industries private that will strengthen the Toyoda founding family's control of the Toyota group had been criticised by global investors for what they called an opaque valuation.
Future Outlook for the Tender Offer
Toyota Motor, its Chairman Akio Toyoda and group real estate company Toyota Fudosan on Wednesday lifted their offer by 15% to 18,800 yen per share, valuing Toyota Industries at roughly 5.6 trillion yen ($35 billion).
Toyota Industries shares were last trading at 19,080 yen, up 5.9% on the day and 1.5% above the new tender price. At one point, the shares rose to a record 19,255 yen.
"The revised offer represents a fairer outcome, reflecting share price levels, enhanced negotiations, and improved disclosure," said Masahiro Akita, senior analyst at Bernstein, predicting a high acceptance rate.
"That said, attention will focus on activist shareholders."
Scrutiny of the deal intensified after Elliott Investment Management disclosed a stake in November and subsequently lifted its holding to 5% last month.
Toyota's Chief Financial Officer Kenta Kon, who also serves as a director at Toyota Fudosan, said on Wednesday the higher price reflected changes in the economic environment and Toyota Industries' business since June.
The value of Toyota Industries' stakes in other Toyota group companies has climbed since the deal was announced, thanks to climbs in share prices across the group.
That has prompted some analysts to question the logic behind the higher offer.
"If they believe that 18,800 reflects not only the higher market prices and the lower tax aspect of it, then it implies that they've downgraded their value of the underlying business," said Stephen Codrington, founder of Codrington Japan, an independent research company.
He added that investors may wait until late in the tender period to see if Toyota sweetens the terms again.
"It'll be very interesting to see what Elliott does now and whether they ramp up their holdings substantially or not," he said.
The tender opened Thursday and runs until February 12.
($1 = 158.5000 yen)
(Reporting by Daniel Leussink; Editing by Edwina Gibbs)
Frequently Asked Questions about Toyota Industries' shares hit record on sweetened bid, Elliott's response awaited
1What is a buyout offer?
A buyout offer is a proposal made by an individual or company to purchase the shares of another company, often at a premium to the current market price.
2What is equity?
Equity represents ownership in a company, typically in the form of shares. It reflects the value of ownership after all liabilities have been deducted.
3What are financial markets?
Financial markets are platforms where buyers and sellers engage in the trade of assets such as stocks, bonds, currencies, and derivatives.
4What is corporate governance?
Corporate governance refers to the systems, principles, and processes by which a company is directed and controlled, ensuring accountability and fairness.
5What is a tender offer?
A tender offer is a public proposal to purchase some or all of shareholders' shares at a specified price, usually at a premium.
