Gamasutra: The Art & Business of Making Gamesspacer
View All     RSS
September 26, 2016
arrowPress Releases
September 26, 2016
PR Newswire
View All

If you enjoy reading this site, you might also want to check out these UBM Tech sites:

Major Tecmo Shareholder Opposes Koei Merger
Major Tecmo Shareholder Opposes Koei Merger
December 26, 2008 | By Eric Caoili

December 26, 2008 | By Eric Caoili
    Post A Comment
More: Console/PC

Effissimo Capital Management, a Singapore-based investment advisory company and Tecmo's second-largest shareholder, opposes the Ninja Gaiden studio's plans to merge with developer and publisher Koei (Dynasty Warriors series).

The investment firm, which owns a owns 17.6 percent stake in Tecmo, claims that the video game company has not adequately explained how the fusion will benefit investors.

“We have not had sufficient information from the company to make a judgment on the merger, such as the feasibility of their plan to raise shareholder value,” says Effissimo's director Takashi Kosaka in a statement sent to Japan's Ministry of Finance, according to a report from financial site Bloomberg.

However, it is as yet unclear whether this complaint will affect or majorly delay the merger's completion. Tokyo-based Tecmo and Yokohama-based Koei recently finalized a ¥20 billion ($221.6 million) stock deal, agreeing to merge their operations under a holding company beginning April 2009.

With the merger, Tecmo shareholders will receive 0.9 share of the holding company for each Tecmo stock they hold, while Koei investors will receive one share from the merged entity for each Koei stock they hold. A Tecmo spokesman, Norihiro Mukai, says that the studio already detailed the advantages of the merger to its investors.

The holding firm is expected to generate over ¥70 billion ($775.5 million) in sales and reach a ¥16 billion ($177.3 million) operating profit in the year ending March 2012.

Tecmo revealed its intentions to merge with Koei in early September after rejecting a $206 million friendly takeover offer from Square Enix, believing that a merger with Koei stands a better chance of "boosting corporate value."

Related Jobs

Demiurge Studios (SEGA)
Demiurge Studios (SEGA) — Cambridge, Massachusetts, United States

Lead Game Designer (Mobile)
Dark Rift Entertainment
Dark Rift Entertainment — Irvine, California, United States

Gameplay Programmer (C++)
Nintendo of America Inc.
Nintendo of America Inc. — Redmond, Washington, United States

Bilingual (Japanese/English) Product Marketing Specialist
3BLACKDOT — Los Angeles , California, United States

Community Manager

Loading Comments

loader image