Major machine tool manufacturer Makino Milling Machine announced on the 31st that it will reject a buyout offer from Japanese investment fund Nippon Sangyo Suishin Kiko, or NSSK. The company determined that there are concerns under the Foreign Exchange and Foreign Trade Act review, as foreign investors would also participate in the acquisition. The buyout plan by NSSK is expected to involve a foreign government-affiliated fund, and it cannot be said that the likelihood of passing the foreign exchange law review is high. The company held a special committee to discuss the buyout proposal before deciding to reject it.
Makino Milling Machine Co., Ltd.Makino rejects NSSK's buyout offer, ending a potential acquisition that could have provided a premium to shareholders.