The Murakami Fund announced Monday it has launched a tender offer for New Japan Radio Co., challenging an ongoing friendly bid for the manufacturer of semiconductor-related products by cotton spinner Nisshinbo Industries Inc.

The investment fund led by financier Yoshiaki Murakami said it will offer 900 yen per share until Dec. 15 for New Japan Radio, which is listed on the first section of the Tokyo Stock Exchange, higher than Nisshinbo's offer of 840 yen.

The fund said its tender offer is aimed at acquiring a minimum 50.01 percent equity stake in New Japan Radio. The bid is expected to cost the fund more than 16.7 billion yen.

Following the announcement of the fund's tender offer, New Japan Radio stock jumped its daily limit of 100 yen to end at 939 yen.

On the other hand, Nisshinbo fell 36 yen to 1,160 yen.

The Murakami Fund held a 2.56 percent stake in New Japan Radio as of Monday.

New Japan Radio shares closed at 839 yen Friday.

The fund said its tender offer is aimed at acquiring an equity stake of at least 50.01 percent in New Japan Radio.

The bid is expected to cost 16.7 billion yen.

The Murakami Fund had a 2.56 percent stake in New Japan Radio as of Monday.

Nisshinbo's tender offer, which began Nov. 9 and will end Nov. 29, is aimed at acquiring a majority stake in Japan Radio Co., the parent company of New Japan Radio, to bolster its electronics and science businesses.

Japan Radio had agreed to sell a 50.49 percent stake to Nisshinbo prior to the tender offer. Nisshinbo has a 19.3 percent stake in Japan Radio.

The Murakami Fund argues that Japan Radio's deal with Nisshinbo runs counter to the principle of maximizing the corporate value of Japan Radio, which makes radio communications equipment, and New Japan Radio.

Murakami was once a bureaucrat at the former Ministry of International Trade and Industry.

The Murakami Fund recently made an estimated profit of more than 10 billion yen by selling a large chunk of its stake in TV and radio broadcaster Tokyo Broadcasting System Inc., market sources said.

The Murakami Fund has become the biggest shareholder in Hanshin Electric Railway Co., owner of the Hanshin Tigers baseball team. Murakami has proposed listing the baseball club on a stock market.