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Tecmo Answers Spurned Square Enix's Takeover Rejection Questions

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Back before Square Enix rescinded its friendly Tecmo takeover bid, we first broke the news that RPG maker was baffled. Tecmo rejected its offer in favor of merging with Dynasty Warriors company Koei. Most curious. Square Enix had three questions for Tecmo:

1. Please confirm that the decision on the start of discussions with KOEI toward integration of management is the reason for rejection of the Proposal. 2. If that is the case, please clarify concretely that major terms of integration of management with KOEI (form of the integration, stock prices assumption, integration ratio and so forth) are favorable for TECMO's shareholders than the Proposal. 3. If not, please clarify that TECMO has an alternative plan, which is favorable for TECMO's shareholders than the Proposal.

Tecmo didn't answer these questions until today. We've translated that, after the jump.1. "The reason why the Tecmo board members did not accept this offer is because of the decision to begin merger talks with Koei." 2. "Supposing this is the case, then the plan to merge with Koei (form of the integration, stock prices assumption, integration ratio and so forth) is concretely beneficial to Tecmo shareholders." 3. "Supposing this isn't the case, then we would disclose alternatives that would be advantageous to shareholders." Tecmo adds: "To answer Square Enix's proposal within the time frame of one week provided little room for negoitiation and discussion. Conversely, regarding the proposal from Koei, there is time for management to consider how to integrate and most likely arrive at ultimately raising our corporate value. This is why we have begun talks with Koei concerning corporate integration."

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