LY (TYO:4689) and Bain Capital have agreed to increase their tender offer price for Kakaku.com (TYO:2371) to 3,640 yen per share, topping Kamgras 1's earlier 3,570 yen offer, but on the condition that they can secure a non-tender agreement with KDDI (TYO:2371).
The higher price is contingent on KDDI, Kakaku.com's major shareholder, agreeing not to tender its 17.7% stake, according to a Tokyo bourse filing on Friday.
However, KDDI is currently bound by an existing non-tender agreement with Kamgras 1, preventing it from negotiating with Bain's consortium.
Bain believes that if Kamgras 1's tender offer fails by its Aug. 27 deadline, KDDI would be released from that restriction and likely agree to a deal.
Meanwhile, another major shareholder, Oasis, with a 19.14% stake, has publicly backed Bain's 3,640 yen proposal and declined Kamgras 1's lower offer.
Bain's tender offer is expected to commence in mid-September, subject to regulatory approvals and Kakaku.com's board support.
Kamgras 1 is the special purpose vehicle for EQT and Digital Garage, which in turn is the largest shareholder of Kakaku.com.