Elliott Rejects Toyota Industries Takeover, Pushes Standalone Valuation Plan

Elliott Investment Management opposed the Toyota Group’s ¥18,800-per-share privatization bid for Toyota Industries Corp., calling it undervalued and urging minority shareholders to reject the offer. The U.S. activist fund cited a ¥26,000 intrinsic net asset value per share, well above the proposed price, which values the company at ¥6.1 trillion ($39 billion). Toyota Industries shares traded at ¥19,510 in Tokyo on January 19, reflecting investor skepticism. Elliott, which holds a 5% stake, outlined a “standalone plan” aiming for a valuation exceeding ¥40,000 per share by 2028 through unwinding cross-shareholdings, capital allocation improvements, and governance reforms. The tender period runs from January 15 to February 12, with success leading to control by Toyota Fudosan Co., chaired by Akio Toyoda. Bloomberg Intelligence analyst Tatsuo Yoshida questioned the practicality of such reforms given Toyota’s historical resistance to structural change.