Copyright Benzinga
On Monday, KKR & Co. Inc. (NYSE:KKR) disclosed the plan to launch a tender offer for Japan-based company, Forum Engineering Inc., through its subsidiary KJ003 Co., Ltd., owned by KKR-managed funds. Forum Engineering is an engineering staffing firm in Japan that connects manufacturing companies with skilled electromechanical engineers. Details The tender offer will be 1,710 Japanese Yen per share (~$11.09 per share), which represents a 40.74% premium to the six-month average price. Also Read: Henry Schein Expands Strategic Partnership With KKR, Raises Annual Outlook The offer price per share option will be 1 Japanese Yen, and the offer will run from November 11 to December 23, 2025. Notably, Forum Engineering’s board has approved and recommended that shareholders tender their shares. Apart from this, KKR has also reached an agreement with Forum Engineering’s founder, Izumi Okubo, who holds a 51.7% combined stake with La Terre Next General Incorporated Association and La Terre Holdings Co., Ltd., to support the transaction and take-private plan. Okubo and La Terre Next will tender their entire 7.51% and 7.11% stakes, while La Terre Holdings plans to tender its 37.07% stake in a subsequent self-tender offer after KKR’s bid closes. After the completion of the Tender Offer and Self-Tender, Okubo intends to reinvest indirectly through La Terre Next Co., Ltd. in KKR-managed funds that will own Forum Engineering. Management Commentary Tsutomu Sato, Representative Director, President and CEO of Forum Engineering, said, “Rapid advances in generative AI are transforming industrial structures. By taking the company private with KKR as our strategic partner, we can focus on evolving our business model for the next era without being constrained by short-term performance pressures.” “Together with KKR, we aim to further develop our specialized staffing services for mechanical and electrical engineers into a robust model that can compete not only in Japan, but on the global stage.” Recent Earnings Release Last week, KKR reported third-quarter fiscal 2025 sales of $2.4 billion, beating the consensus of $2.21 billion and adjusted EPS of $1.41, exceeding the street view of $1.30. Price Action: KKR shares were trading higher by 0.15% to $121.50 premarket at last check Monday. Read Next: AI Stocks Extend Selloff, Nasdaq 100 Eyes Worst Week Since April: What’s Moving Markets Friday? Photo by T. Schneider via Shutterstock
