Japan's Supreme Court rejected an appeal by U.S. hedge fund Steel Partners on Tuesday to prevent Worcester sauce maker Bull-Dog from invoking anti-takeover measures.
Steel Partners Japan Strategic Fund (Offshore) L.P., Bull-Dogâ€™s top shareholder, launched a $260 million unsolicited tender offer for the Japanese company in May.
Bull-Dog became the first Japanese company to issue equity warrants under its anti-takeover â€œpoison pillâ€ defense on July 11. Steel Partners originally called for a request to block the measure, but the Tokyo District Court and Tokyo High Court rejected the request ahead of Tuesday's decision.
On Thursday Bull-Dog will allocate new shares for shareholders but not Steel Partners. As a result, Steel Partnersâ€™ shareholding ratio will be reduced to around 3 percent from 10 percent.
The lower courts had turned down Steel Partnersâ€™ request, characterizing the hedge fund as an abusive bidder.