Fuji Television Network Inc, Japan's biggest broadcaster, agreed to pay rival Livedoor Co about ¥147.4 billion (US$1.4 billion) and form an alliance, ending a two-month hostile takeover bid for its radio affiliate.
Increased holdings
Tokyo-based Fuji TV will initially raise its stake in radio network Nippon Broadcasting System Inc to 68.87 percent and will buy remaining shares on Sept. 1. Internet portal Livedoor will keep 17.6 percent of the company for now, reducing its 50 percent holding, Fuji TV and Livedoor said today in statements to the Tokyo Stock Exchange.
Livedoor, owned by 32-year-old Takafumi Horie, began a hostile bid for Nippon Broadcasting in February in a quest to form a company spanning the Internet and broadcast media.
Livedoor's control of Nippon Broadcasting then forced Fuji TV to take steps to prevent itself from becoming a takeover target because of cross-shareholdings with the radio company.
"Horie gained fame and popularity, which led Livedoor to get more hits" on its Web sites, said Yoshio Shima, a partner at Ottoman Capital, a Tokyo-based hedge fund. "For Fuji TV's part, they could have controlled Nippon Broadcasting at a cheaper cost if not for Livedoor."
Fuji to buy shares
As part of the agreement, Fuji TV will also spend ¥44 billion to buy 133.74 million new shares in Livedoor at Friday's closing share price of ¥329, giving it a 12.75 percent stake in the Tokyo-based company.
Fuji TV will pay ¥6,300 for each of the Nippon Broadcasting shares held by Livedoor, close to what Livedoor paid.
Nippon Broadcasting and Fuji TV are part of the Fujisankei Communications Group, the largest media organization in Japan.
Acquisitions
Livedoor, which has a market value of about ¥226 billion, acquired 17 companies last year as it expanded its Internet services.
Livedoor shares rose 6.4 percent to ¥350 in Tokyo.
Nippon Broadcasting shares, currently 36.5 percent owned by Fuji TV, fell 1.2 percent to ¥5,880. Fuji TV's shares fell 3.5 percent to ¥222,000.
The companies released their announcements after equity markets closed in Japan.
SECURITY: As China is ‘reshaping’ Hong Kong’s population, Taiwan must raise the eligibility threshold for applications from Hong Kongers, Chiu Chui-cheng said When Hong Kong and Macau citizens apply for residency in Taiwan, it would be under a new category that includes a “national security observation period,” Mainland Affairs Council (MAC) Minister Chiu Chui-cheng (邱垂正) said yesterday. President William Lai (賴清德) on March 13 announced 17 strategies to counter China’s aggression toward Taiwan, including incorporating national security considerations into the review process for residency applications from Hong Kong and Macau citizens. The situation in Hong Kong is constantly changing, Chiu said to media yesterday on the sidelines of the Taipei Technology Run hosted by the Taipei Neihu Technology Park Development Association. With
A US Marine Corps regiment equipped with Naval Strike Missiles (NSM) is set to participate in the upcoming Balikatan 25 exercise in the Luzon Strait, marking the system’s first-ever deployment in the Philippines. US and Philippine officials have separately confirmed that the Navy Marine Expeditionary Ship Interdiction System (NMESIS) — the mobile launch platform for the Naval Strike Missile — would take part in the joint exercise. The missiles are being deployed to “a strategic first island chain chokepoint” in the waters between Taiwan proper and the Philippines, US-based Naval News reported. “The Luzon Strait and Bashi Channel represent a critical access
‘FORM OF PROTEST’: The German Institute Taipei said it was ‘shocked’ to see Nazi symbolism used in connection with political aims as it condemned the incident Sung Chien-liang (宋建樑), who led efforts to recall Democratic Progressive Party (DPP) Legislator Lee Kun-cheng (李坤城), was released on bail of NT$80,000 yesterday amid an outcry over a Nazi armband he wore to questioning the night before. Sung arrived at the New Taipei City District Prosecutors’ Office for questioning in a recall petition forgery case on Tuesday night wearing a red armband bearing a swastika, carrying a copy of Adolf Hitler’s Mein Kampf and giving a Nazi salute. Sung left the building at 1:15am without the armband and apparently covering the book with a coat. This is a serious international scandal and Chinese
COUNTERINTELLIGENCE TRAINING: The ministry said 87.5 percent of the apprehended Chinese agents were reported by service members they tried to lure into becoming spies Taiwanese organized crime, illegal money lenders, temples and civic groups are complicit in Beijing’s infiltration of the armed forces, the Ministry of National Defense (MND) said in a report yesterday. Retired service members who had been turned to Beijing’s cause mainly relied on those channels to infiltrate the Taiwanese military, according to the report to be submitted to lawmakers ahead of tomorrow’s hearing on Chinese espionage in the military. Chinese intelligence typically used blackmail, Internet-based communications, bribery or debts to loan sharks to leverage active service personnel to do its bidding, it said. China’s main goals are to collect intelligence, and develop a
RSS