Australia’s largest supply chain company Toll looks set to be bought by Japanese giant Japan Post, after the Toll board recommend shareholders accept the bid.

The buyout promises shareholders a major and unexpected payday. The Japanese company has offered to pay $9.04 per share, 49 per cent more than yesterday’s closing price.

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In a release to the market, the Australian company said: “Toll Board believes it is a compelling transaction for shareholders and provides a unanimous recommendation to vote in favour of the Scheme.”

It said that, should shareholders vote in favour of the deal, the Toll management and brand will remain in place, with the Toll chief executive reporting to Japan Post.

Toll chairman Roy Horsburgh said: “The Board believes Japan Post’s proposal of $9.04 cash per share, which allows shareholders to receive a further $0.13 interim dividend, reflects compelling value for Toll’s shareholders.”

Following the announcement, Toll’s share price surged to $8.93, suggesting the market is confident the sale will go ahead.

The vote is expected to take place in May.