On August 14, 2025, Japan’s bearing giant MinebeaMitsumi announced it would raise its tender offer price for Japanese sensor manufacturer Shibaura Electronics from the previous ¥5,500 per share to ¥6,200 per share — matching the latest offer made by Taiwan’s passive components leader Yageo. Yageo had launched its tender offer in May at ¥6,200, and the bidding war between the two companies continues to escalate. This acquisition battle has drawn significant attention because Shibaura Electronics is a global leader in the temperature sensor (NTC thermistor) market, with a 13.5% market share in 2023, and its technology is used in key fields such as defense and aerospace. Given its national security implications, the Japanese government’s review process is also under close watch.
Purpose of M&A
Background of the Buyers (Yageo and MinebeaMitsumi)
Founded in 1977, Yageo is one of the world’s leading suppliers of passive electronic components, with annual revenue exceeding USD 4 billion, more than 40,000 employees, and 61 manufacturing sites worldwide. In recent years, Yageo has actively expanded into sensor business and pursued growth through acquisitions.
MinebeaMitsumi was formed in 2017 through the merger of Minebea, established in 1951, and Mitsumi Electric, a precision motor manufacturer. It is renowned for producing precision bearings, miniature motors, and electronic components, with strong R&D and manufacturing capabilities. The company has also acted as a “white knight” in past deals to help preserve Japanese technological assets.
Background of the Seller (Shibaura Electronics)
Founded in 1953, Shibaura Electronics specializes in manufacturing NTC thermistors and various temperature sensors, holding the top global position in this sector. With over 4,800 employees and annual revenue exceeding ¥320 billion, the company’s products are used in automotive, industrial, home appliance, medical, and even defense and aerospace applications. Its advanced sensor technologies are of great strategic importance to both global markets and Japanese industry.
M&A Objectives and Expected Outcomes
Yageo’s core objective is to expand its sensor portfolio by integrating Shibaura Electronics’ technology and sales channels, accelerating growth in the global market. Yageo’s management has stated that the combination of both companies’ resources will generate strong synergies.
MinebeaMitsumi, entering as a “white knight,” aims to prevent the outflow of core Japanese technology while strengthening its competitive edge. Strategically, the deal represents an opportunity for Yageo to broaden its product lines and enhance global capabilities, while for MinebeaMitsumi, it is a move to safeguard Japan’s position in critical component technologies.
Acquisition Terms
Purchase Price and Consideration
Yageo initially proposed acquiring 100% of Shibaura Electronics’ outstanding shares at ¥4,300 per share, with the tender offer scheduled to begin on May 7, 2025. The two sides have since raised their offers multiple times: MinebeaMitsumi started with ¥4,500 on April 10, then raised to ¥5,500 on May 1; Yageo increased to ¥5,400 on April 17 and then to ¥6,200 on May 8. On August 14, MinebeaMitsumi matched Yageo’s offer at ¥6,200. Both companies are offering cash payments, with no share-swap arrangements involved. Based on current pricing, the deal’s estimated total value is in the hundreds of billions of yen.
Acquisition Ratio and Conditions
Yageo aims to acquire 100% of Shibaura Electronics’ shares, as does MinebeaMitsumi. With both companies now offering the same price, the outcome will depend on factors such as acquisition volume, regulatory approval in Japan, and shareholder responses.
Acquisition Timeline
Feb 5, 2025: Yageo’s board approves plan to launch a tender offer at ¥4,300 per share for 100% of Shibaura Electronics.
Apr 10, 2025: MinebeaMitsumi, acting as a “white knight,” has officially launched a tender offer for Shibaura Electronics at a price of ¥4,500 per share.
Apr 17, 2025: Yageo raises its offer to ¥5,400.
May 1, 2025: MinebeaMitsumi raises its offer to ¥5,500.
May 8–9, 2025: Yageo raises its offer to ¥6,200 and officially launches the TOB on May 9.
Jul 15, 2025: Yageo extends TOB deadline to August 1 due to the progress of Japan’s Foreign Exchange Act review.
Jul 28, 2025: MinebeaMitsumi extends its TOB deadline to August 1.
Aug 1, 2025: Both companies extend TOB deadline again to August 18.
Aug 14, 2025: MinebeaMitsumi raises its offer to ¥6,200 and extends TOB deadline to August 28.
Upcoming: On August 19, Shibaura Electronics is scheduled to visit Yageo’s Kaohsiung plant, followed by a reciprocal visit to Shibaura’s Thailand plant in September. Both sides expect to complete the acquisition process by Q3 2025.
