24 April 2006 – Japan's Ajinomoto Co. plans to invest Y1.69 billion (about USD 14.4 million) to boost its stake in affiliated spice firm Gaban Co , say reports in the business press . Ajinomoto, which currently owns 40.05% of Gaban, is reportedly upping its stake to 55.05%.
The company aims to fund the raise through a tender offer bid , starting Monday 24 April and running to 15 May. Ajinomoto is offering to pay Y1,000 per Gaban share, a 9.3% premium on the April 21 closing price of Y915, reports ‘Jiji Press’.
If the offer succeeds, Gaban will become a subsidiary of Ajinomoto.
House Foods Corp is the second largest shareholder in Gaban after Ajinomoto, with a 15.85% stake.