TOKYO (XFN-ASIA) - Citigroup Inc is likely to succeed in its bid to take at least majority stake in Nikko Cordial Corp, whose shares have been trading below the offer price of 1,700 yen, the Nikkei reported, without citing sources.
Nikko Cordial stock rose to 1,690 yen at one point last Wednesday, the day after Citigroup raised its offer to 1,700 yen from 1,350 yen, but since then, Nikko Cordial shares have yet to trade above the offer price, closing at 1,687 yen on Friday, the business daily said.
Citigroup's bid represents a 26 pct premium over Nikko Cordial's average price for the past six months.
Citigroup's tender offer for a majority stake in Japan's No. 3 brokerage began last Thursday and runs through April 26.
(1 usd = 116.71 yen)
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