Blackstone Group Inc has said that it has been unable to obtain an agreement from Japanese hotel operator Unizo Holdings Co Ltd for its $1.6 billion takeover bid proposal.
Last month, Blackstone offered to buy the company at 5,000 yen a share, which valued the hotel chain at 171 billion yen ($1.6 billion). It also warned the company that it would take any measures if Unizo fails to respond to Blackstone's offer by a deadline that it keeps extending. Its initial deadline was October 23.
"Unfortunately, despite our sustained good faith efforts, as of the date of this release, Blackstone has been unable to reach a definitive agreement with Unizo," Blackstone said in a statement.
Unizo was a little-known property manager until Japanese travel agent HIS Co Ltd launched a hostile bid for it in July.
Fortress Investment Group's White-Knight Offer
Unizo had at one stage turned to US buyout firm Fortress Investment Group, which is owned by SoftBank Group Corp, to fend off the bid from HIS., but later withdrew its support for Fortress's white-knight offer.
Fortress is running its public tender offer at 4,100 yen per share.
Blackstone said that it will provide an update no later than December 6 if there are any changes in circumstances regarding Unizo.
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