A shareholder of Dutch printer manufacturer Oce, Hermes Focus Asset Management, has expressed its concern about governance issues surrounding Canon 730 million euro bid for Oce.

"We welcome Canon's continued intention to pursue a merger, but recent filings confirm our concerns about the value offered to Oce shareholders and the takeover plans give rise to governance concerns," Hermes said in an open letter.

Hermes, which has a 3.3% stake in Oce raises concerns about the position of minority shareholders once the Canon offer is declared unconditional. "A number of shareholders, including Hermes, have expressed they will not offer their shares under the Canon bid," Hermes said.

Orbis Portfolio Management, with a stake of around 10% in Oce, has said it will not offer its share under the Canon bid. Sparinvest, representing 5% of the Oce shares, will not offer its shares, either, according to media reports. Hermes added that Oce has not thoroughly explored a break-up scenario as an alternative to selling the company as a whole.