Toyota Industries to Go Private in $33B Deal, Tender Offer Draws Shareholder Backlash

Toyota Industries Corp. will be taken private in a $33 billion deal led by Akio Toyoda and backed by Japan’s largest banks, according to Bloomberg. The tender offer represents an 11% discount to Toyota Industries’ recent closing price and has drawn criticism from shareholders for undervaluing the company. The privatization would tighten the founding family’s control over the Toyota Group while aligning with Japan’s push to unwind cross-shareholdings. The deal would resolve long-criticized ownership structures and support governance reforms following recent scandals. Mizuho Securities chief equity strategist Masatoshi Kikuchi said activist investors typically oppose discounted tender offers, as they deviate from the standard practice of paying a premium.