Equity Fund Targets Nippon Fine Chemical

The Los Angeles private equity fund Dalton Investments has offered to buy Nippon Fine Chemical, a Japanese producer of fine and industrial chemicals, claiming that Nippon Fine's current management does not serve the best interests of shareholders. Dalton already owns 14% of Nippon Fine, and its offer values the firm at nearly $200 million. In its most recent fiscal year, Nippon Fine earned $9.5 million on sales of $216 million. Dalton also has offered to buy the Japanese elevator maker Fujitec for $710 million. Nippon Fine has not responded to the buyout offer, while Fujitec says it's studying the proposal.