Elliott Investment Management has been building a significant stake in Toyota Industries and has told the Toyota group company that its proposed privatization price is too low, people familiar with the matter said.

Toyota Industries disclosed in a filing on Tuesday that Elliott had a 3.26% stake as of Sept. 30, making it one of the manufacturer’s biggest shareholders. That has since increased to almost 5%, the people said, asking not to be identified because the information is confidential.

Elliott has shared its views with Toyota Industries management that the ¥16,300 per share buyout offer is too low and suggested other options for the deal, the people said.