A Japanese investment group says it may seek 25% to 50% of JYP Entertainment through a tender offer as early as November, but JYP says it has received no takeover proposal. The Financial Supervisory Service called the announcement highly unusual because no tender-offer filing had been submitted and warned that the plan might not be completed. JYP shares rose 14.38% in after-hours trading to 42,150 won, while reported annual revenue of up to $5 million for the investment group raised questions about its ability to fund a deal estimated at roughly 750 billion to 800 billion won.
Investors now face uncertainty over the group’s financing, the filing of formal documents and whether the proposed tender offer will proceed.