Topcon Corp Sees Share Surge Amid Takeover Offers

Investing.com– Topcon Corp (TYO:7732) rose sharply in Tokyo trade on Tuesday after Bloomberg reported the optical equipment maker is weighing takeover offers from private equity giants including KKR & Co LP (NYSE:KKR) and EQT (ST:EQTAB).

Topcon shares surged nearly 10% to 1,9280 yen, their highest level since July 2023.

Topcon held its first round of bids in September, narrowing its options to offers from KKR and EQT, according to the Bloomberg report. The government-backed Japan Investment Corp also plans to bid for the firm in its second round, which may happen by the end of December.

Bloomberg noted that the offers come as Topcon faces pressure from activist investors to unlock value.

These developments in the Topcon offers come amid heightened M&A activity among Japanese firms. For instance, 7-11 owner Seven & i Holdings Co., Ltd. (TYO:3382) received an unsolicited takeover bid from Canada’s Alimentation Couche Tard Inc (TSX:ATD) earlier this year. Recent reports suggest Seven & i’s founding Ito family could take the firm private.

KKR is also reportedly considering an investment in Seven & i’s supermarkets unit.