Elliott Says The Offer For Toyota Industries is 40% Undervalued and Proposes an Alternative Plan

Elliott Investment Management says the Toyota Group’s plan to take Toyota Industries private significantly undervalues the company. The activist investor claims the current offer of 18,800 yen per share is about 40% too low and has urged shareholders not to accept it. Elliott, now the largest minority shareholder, believes Toyota Industries could more than double its value by 2028 through better governance, selling cross shareholdings, and improving profitability. While Toyota Group companies claim the offer reflects the firm’s true value, Toyota Industries’ share price has remained above the bid, indicating ongoing investor disagreement.