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Colowide withdraws bid to buy Shidax business

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15 Sep 2022 04:09:00 GMT9
15 Sep 2022 04:09:00 GMT9

TOKYO: Major Japanese restaurant chain operator Colowide Co. has decided to withdraw its bid to acquire the food service business of Shidax Corp., it was learned on Wednesday.

Colowide apparently believes that Shidax’s corporate value and its own brand value would be hurt if the current turmoil over grocery delivery service firm Oisix Ra Daichi Inc.’s tender offer for Shidax is prolonged.

Colowide sent a document on the withdrawal to Shidax on Wednesday, informed sources said.

Colowide’s withdrawal may work out positively for Oisix’s offer, which Shidax’s board has opposed, citing the need to compare the offer with Colowide’s proposal.

In June, Colowide offered to buy the Shidax business in a bid to expand its food service operations.

Meanwhile, Oisix, which partners with Shidax’s founding family, including Chairman and President Kinichi Shida, launched the tender offer on Aug. 30.

Investment firm Unison Capital Inc., Shidax’s largest shareholder, has not accepted Oisix’s bid, citing insider trading concerns.

JIJI Press

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