Japanese property developer Mitsui Fudosan Co. has decided to launch a tender offer for ballpark operator Tokyo Dome Corp. in what could be a more than 100 billion yen ($960 million) acquisition, sources with knowledge of the matter said Friday.

Tokyo Dome is expected to support Mitsui Fudosan's friendly offer, according to the sources. The operator of one of the country's main indoor stadiums has been at odds with major shareholder Oasis Management Co., a Hong Kong-based private fund calling for a management change, and Mitsui Fudosan has emerged as a white knight.

Tokyo Dome was valued at around 86 billion yen based on the closing price of 897 yen a share on Thursday. Mitsui Fudosan is most likely to offer a premium to make the tender offer successful.

The real estate company apparently believes that making Tokyo Dome, which is also an event hall and hotel operator, a subsidiary will create synergies with its own businesses.

Mitsui Fudosan and Tokyo Dome said in separate statements that their board of directors will discuss the matter on Friday.

The Tokyo Dome stadium, with a maximum capacity of about 55,000, is the home ground of Japanese professional baseball team Yomiuri Giants and is also used for concerts and other events.

After failing to hold a dialogue, Oasis Management, which owned a 9.61 percent stake as of January, is seeking to remove Tokyo Dome President Tsutomu Nagaoka and two directors to improve the ballpark and hotel operator's business.

Tokyo Dome has rejected the proposal made in October and is planning to hold an extraordinary shareholder meeting on Dec. 17 to take up the issue.

Tokyo Dome has been hit by event cancellations and postponements amid the coronavirus pandemic, with the Japanese government limiting the number of spectators at big sporting and other events.

The company reported a net loss of 9.82 billion yen in the first half of this business year from February to July, which compares with a 4.69 billion yen profit a year earlier.

==Kyodo

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