Shares of Japanese chip parts maker Rohm surged 18% on Friday, marking the largest daily gain in 26 years, after receiving an acquisition proposal from auto parts supplier Denso. The stock hit its daily upper limit of ¥3,243 at close in Tokyo. Rohm has not made any specific decisions on the bid, the company stated.
Rohm's shares surged following an acquisition proposal from Denso. On Friday, the stock rose 18% to its daily upper limit of ¥3,243 at the close in Tokyo, the biggest one-day gain in 26 years. Denso's shares, meanwhile, fell 3.3%.
In a statement released Friday afternoon, Rohm confirmed it had received the share acquisition bid from the auto parts supplier but said it had not made any specific decisions. The disclosure responded to a report in the Nikkei newspaper. Rohm specializes in chip components, while Denso is known for automotive parts.
The development highlights ongoing mergers and acquisitions activity among chipmakers. Details of the proposal remain undisclosed, but the market reacted positively to the news, drawing investor attention to Rohm's stock.
