Rakuten says plans to buy additional TBS shares

(Add Mikitani's request to be on TBS board)

TOKYO, April 19 (Reuters) - Japan's Rakuten Inc. (4755.Q) said on Thursday it planned to buy more shares in Tokyo Broadcasting System Inc. (9401.T) to push through its long-running merger proposal, but the plan could trigger the broadcaster to implement a planned takeover defence measure.

Negotiations between the two companies on a possible alliance have dragged on for more than a year since Rakuten's failed takeover bid for TBS in 2005. Rakuten, Japan's biggest online shopping mall operator, told TBS in a statement it aimed to hold more than 20 percent of the broadcaster's shares, which could make TBS a Rakuten affiliate.

TBS in February said it would introduce a "poison pill" measure to block hostile takeovers, which would enable it to issue equity warrants if a bidder tried to take a stake of 20 percent or more.

Rakuten currently holds a 19.98 percent stake in the broadcaster, of which 10 percent was placed in trust when it began the tie-up talks.

The Internet venture also asked for its president, Hiroshi Mikitani, and another Rakuten director to be allowed to sit on TBS's board.

Rakuten also proposed that TBS should submit its takeover defence plan as a special resolution at TBS's shareholder meeting.

Shares in Rakuten closed up 1.3 percent at 47,500 yen before the company made the announcement, while TBS dropped 2.3 percent to 3,840 yen. The Nikkei .N225 benchmark fell 1.7 percent.

((Reporting by Aiko Wakao, editing by Hugh Lawson; Reuters messaging: aiko.wakao.reuters.com@reuters.net; Email: aiko.wakao@reuters.com; Tel:+81-3-3432-8595)) Keywords: RAKUTEN TBS/

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