Following our report on the proposed privatisation of Roland DG, Brother Industries, who already OEM a Roland printer model, has launched a hostile take-over plan to prevent the Taiyo Pacific Partners private equity-backed proposal.
Eye on the prize - Brother Industries sees Roland DG as a buy - Roland DG corporate HQ pictured
In an official announcement to the Nikkei stock exchange, Roland DG says:
" Roland DG Corporation (Roland DG) finds itself at the center of a high-stakes bidding war, with both Brother Industries, Ltd. (Brother), a leading printer manufacturer, and Taiyo Pacific Partners (Taiyo), a private equity firm, vying for acquisition. This news marks a potential turning point for the digital printing solutions leader.
Brother recently entered the fray on March 13, 2024, with a tender offer valued at ¥64 billion (approximately USD $43.34). This comes after Taiyo Pacific Partners, through its subsidiary Taiyo XYZ Group, L.P., launched an initial offer of ¥62 billion in February 2024.
The tender offer process for both Brother and Taiyo is still unfolding, subject to regulatory approvals.
This development presents a complex situation for Roland DG. While both offers represent a potential premium for shareholders, the companies’ visions likely differ. Brother, with its established printer market presence, could offer product development synergies and a wider sales network. Taiyo, on the other hand, might approach Roland DG with a focus on long-term growth and potentially more operational independence.
Roland DG’s board of directors will need to carefully evaluate both proposals and determine which best aligns with the company’s long-term goals, employee well-being, and the future of the digital printing industry.
This acquisition saga highlights the evolving landscape of the printing industry. Consolidation with either Brother or Taiyo could potentially lead to a more powerful market presence for the resulting entity."
Big Brother is watching Roland DG
Wide Format Online Publisher Andy McCourt comments:
"Brother Industries is a hugely successful Japanese company with annual sales in excess of eight billion in Australian dollars. The Nagoys-headquartered company has a history stretching back ove 100 years. They already own the UK's Domino Printing Sciences, purchased in 2015 for around GBP1.03 billion. Domino makes inkjet label presses, print bars and inkjet encoding systems. Brother is a leader in domestic and industrial sewing machines, textile and garment inkjet printers, consumer and office printers. Brother is also one of only two known companies still making typewriters! Brother is a force to be reckoned with, has a comprehensive gloval distribution network and employs around 42,000 people internationally.
"Interestingly, Brother is showing a 64" latex-resin printer at FESPA in Amsterdam and it looks identical to a Roland DG AP-640!"
Re-badged Roland AP-640? Brother's WF1-640 launches at FESPA
Our report on the February Taiyo proposal can be read on THIS LINK
