Japan Post buys Toll Holdings for A$6.49b

Sydney

JAPAN Post Holdings Co agreed to buy Australia's Toll Holdings Ltd for A$6.49 billion (S$6.9 billion), gaining a transport network in the faster-growing Asian region ahead of an initial public offering (IPO) this year.

The offer, the biggest by a Japanese company for an Australian firm, values Toll's shares at A$9.04 each, 49 per cent more than Tuesday's closing price. Shares in the Melbourne-based logistics company jumped by a record 47 per cent to A$8.94 at 3.44 pm in Sydney on Wednesday.

Buying Toll would give state-owned Japan Post access to a global network spanning road, air, sea and rail routes as it seeks to boost investor appeal before the IPO, which it expects will raise …