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Elliott Challenges Toyota-Led Take-Private of Toyota Industries

The activist disclosed a 3.26% holding, pressing the board over valuation and transparency.

Overview

  • Elliott said the proposed buyout very significantly undervalues Toyota Industries and reflects a process that lacked transparency and proper governance.
  • The fund confirmed it has been engaging with Toyota Industries’ management and board regarding the transaction.
  • Regulatory filings show Elliott held 3.26% of Toyota Industries as of September 30, making it one of the company’s largest shareholders.
  • Toyota group entities announced in June a plan to take Toyota Industries private via a holding company backed by Toyota Motor, Toyota Fudosan and Akio Toyoda.
  • A Toyota Industries spokesperson did not immediately respond to requests for comment on Elliott’s statement.