-- V-cube (TYO:3681) said negotiations with Japan Innovation Network on a definitive sponsor agreement will take longer after the investor requested a review of pricing terms, according to a Friday filing on the Tokyo Stock Exchange.
The companies had aimed to finalize a binding agreement by May 8 under a deal that would make V-cube a wholly owned unit of a J-INC special purpose company through a third-party allotment and share consolidation.
J-INC said it cannot proceed at the initially agreed price, citing the establishment of a special investigation committee, an auditor's disclaimer of opinion on V-cube's financial statements, and ongoing U.S. investigations involving a former subsidiary.
The investor is assessing the impact of these factors and has not proposed revised terms, but said it intends to continue discussions subject to conditions including agreements with lenders.
V-cube said it has not received alternative binding offers after a market check and will continue talks with J-INC while seeking to secure capital to stabilize its finances and support restructuring.