Tokyo, Aug 7 - Japan's top court has rejected an appeal by Steel Partners to block the anti-takeover manoeuvres of food manufacturer Bull-Dog Sauce Co., the U.S. hedge fund said.
The decision by Japan's Supreme Court likely puts an end to a high-profile legal tussle between activist investors and traditional Japanese management.
The court threw out Steel Partner's appeal over a lower court decision last month to reject the fund's attempt to prevent a "poison pill" defence.
Under the poison pill, Steel Partner's stake in Bull-Dog Sauce would fall to less than 3 percent from 10 percent, effectively blocking the hedge fund's $260 million takeover bid.
Steel Partners had sought to block the poison pill, which was approved by Bull-Dog shareholders. Last month, the Tokyo High Court ruled that discriminatory treatment of some shareholders may be permissible if based on rational reasons.
The Tokyo court also characterised the hedge fund as an abusive bidder.
A spokeswoman for the fund said it would release a statement on Wednesday regarding the takeover-bid process and said the fund's lawyers were still analysing the court's decision.