Toll Holdings Ltd Chairman Ray Horsburgh (L) and Japan Post Chief Executive Toru Takahashi exchange a pen during an official signing ceremony in Sydney
Toll Holdings Ltd Chairman Ray Horsburgh (L) and Japan Post Chief Executive Toru Takahashi exchange a pen during an official signing ceremony in Sydney February 18, 2015. REUTERS/JEREMY PIPER/OCULI

Toll Holdings’ Paul Little will soon join the billionaires club in Australia. He may have left the company in 2012 but he still remains as the biggest shareholder.

The company’s board has approved Japan Post’s takeover bid worth $9.04 per share. Australia’s largest logistics company is now valued at $6.5 billion. Toll Holdings’ former head is set to receive an estimated $340 million, reports SMH.

The Australian Financial Review revealed the news of the deal with Japan Post’s offer representing a 49 percent premium to the company’s closing price of $6.08 last Feb. 17. Shareholders of Toll Holdings will receive an interim dividend of 13 cents per share.

Toll chairman Ray Horsburgh said the acquisition will result in a “powerful combination” as one of the top five logistics companies in the world. The acquisition is part of Japan Post’s strategy to become the leading international logistics company. Japan Post will retain Toll’s name and make it a division within the company.

Little said he supported the deal with Japan Post. He is already one of the richest people in Australia with a net worth of $820 million. Since he owns 5.2 percent of Toll, he stands to make $340 million from the deal.

“It’s a positive and exciting opportunity for Toll,” said Little. He ran the company for 25 years. He added that the deal will allow Toll to expand in Asia.

Brian Kruger, Toll’s chief executive, tried to restructure the company after taking the reins from Little in early 2012. However, he struggled after years of global expansion under Little, reports AFR.

When Little first found out about Japan Post’s bid, he told The Australian that he was “emotional” but was happy that Toll employees will have a new home. Little is now the chairman of the Essendon, an AFL football club. The new billionaire continues to run his businesses, Little Property Group and Little Aviation. Little bought rental listing company Real Estate Corp for $60.7 million in Feb. 2014, according to Smart Company.

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