TOKYO : Cosmo Energy Holdings said on Friday a group of investors led by prominent activist Yoshiaki Murakami has submitted a letter of intent to buy an additional stake in the Japanese oil refiner of up to 4.53 per cent
The letter comes after Cosmo shareholders last month approved a “poison pill” takeover defence against Murakami in a controversial vote that excluded the group which owns 20 per cent of Japan’s third-biggest oil refiner.
The vote paved the way for the Cosmo board to implement a poison pill to dilute the activists’ stake if the group buys more shares without following set procedures, for instance, stating the purpose of the purchase.
Cosmo said in a statement on Friday the board would ask the group within five business days to submit a list of information to allow it to evaluate its intentions for the additional stake purchase.
If the board does not approve the stake increase, Cosmo will call another shareholder vote on whether to launch the poison pill.
Shares of Cosmo jumped after the news, trading up 2 per cent in early afternoon.
#Activist #group #notifies #Japans #Cosmo #intent #increase #stake
