TOKYO, Nov 6 (Reuters) - Private equity firm KKR

has acquired a 35% stake in Japanese software developer Fuji

Soft after the first part of its two-stage buyout

tender offer, the latter said in a statement on Wednesday.

Although rival Bain Capital had proposed a higher offer in

October to take the Japanese company private, KKR now owns

enough Fuji Soft shares to be able to block Bain's bid, a source

familiar with the matter told Reuters.

Investors 3D Investment Partners and Farallon Capital, who

collectively own a 32.7% stake in Fuji Soft, had previously

agreed to tender their shares to KKR at a price of 8,800 yen per

share.

Bain has said it would only launch its 9,450 yen per share

bid with approval from Fuji Soft's management, which it has yet

to receive.

Bain was not available for comment on the outcome of KKR's

tender.

KKR said it will launch the second stage of its tender offer

- also at 8,800 yen per share - in mid-November.