Japonica Partners Proposes to Buy Borden for $2.4 Billion

Seeking to derail a buyout of Borden Inc. by Kohlberg Kravis Roberts Co., an investment firm led by Paul Kazarian said Wednesday that it wants to acquire the food and consumer products company for $2.4 billion.

Kazarian’s Japonica Partners, based in Rhode Island, said it proposes to acquire Borden for $2.4 billion, or $17 a share in cash and securities. That is $2.75 a share more than KKR has offered.

A KKR spokesman declined to comment on the Japonica proposal.

KKR said in September that it would take Borden private in a $2-billion stock swap for about half of KKR’s RJR Nabisco Holdings Corp. shares. KKR later amended its proposal after RJR Nabisco said it did not want to buy 20% of Borden, but KKR is proceeding with its exchange offer.

KKR affiliate Borden Acquisition Corp. began its exchange offer for all outstanding Borden shares last week. The KKR offer, in which each Borden share can be exchanged for RJR Nabisco shares worth about $14.25, expires Dec. 20.