Latest news with #TokyoStockExchange
Mint
2 days ago
- Business
- Mint
Japan Firms Exit Tokyo Exchange at Record Pace in Delisting Rush
Japanese companies are leaving the Tokyo Stock Exchange at the fastest pace in over a decade, reflecting a surge in deals and management buyouts as they face more pressure to make better use of their capital. The number of firms that delisted their shares from the TSE or announced plans to do so has reached 59 in the first half, rising from 51 a year earlier and marking the most on record for a comparable period, according to exchange data going back to 2014. If firms continue to exit the TSE at this pace, the figure for 2025 will exceed last year's annual record of 94 companies. The trend reflects the Tokyo bourse's broad push to make the Japanese market more appealing for foreign investors by ensuring that listed companies offer high shareholder returns, while firms that aren't meeting their goals face the threat of being taken off the exchange. The TSE has called on companies to pursue goals including improving their valuations and cutting overly close ties with other companies in the form of cross-shareholdings. Those reforms made Japanese shares one of the world's best performers in recent years, while encouraging activist shareholders to demand even more changes from company managers. For investors, increased activism has boosted calls to raise returns with measures such as stock buybacks, while mergers and acquisitions have soared. 'The decrease in the number of listed companies as a result of the activation of the capital market is a welcome development,' said Hiroshi Matsumoto, senior client portfolio manager at Pictet Japan. Japan is following in the footsteps of overseas markets like the US and UK, where more companies have gone private over the last 20 years on stricter rules to stay listed as well as growth in private market financing. The Tokyo exchange has emphasized since last year that its priority for listed firms is quality rather than a big numbers of companies. 'The TSE's intentions are going as planned,' said Hajime Nakajima, managing director at Deloitte Tohmatsu Equity Advisory. Companies whose shares are considered cheap will increasingly become targets of M&A and management buyouts, and 'more and more of them will exit the market,' he said. The number of listed companies on the Tokyo bourse fell to 3,842 last year, marking the first decrease since the merger of the TSE and the Osaka exchange in 2013, according to TSE data excluding figures from the Tokyo Pro Market. The number will likely fall further to 3,808 by the end of June, based on Bloomberg calculations of data including figures from the exchange. The TSE reorganized in 2022 its equity market into Prime — with the biggest firms, Standard, and Growth — listing the smallest companies. Since then, the TSE has urged listed companies to improve corporate governance and take steps to bolster their value. In addition, the transition period for companies that fail to meet listing standards expired at the end of March, and if they continue to fall short, they're scheduled to be delisted in October 2026 at the earliest. Many companies left the Tokyo exchange after getting bought out by other firms and investment funds. ID&E Holdings, a construction consulting firm, became a wholly owned subsidiary of non-life insurer Tokio Marine Holdings Inc., who saw business opportunities in its new unit's disaster prevention and mitigation tactics. Guidelines that Japan's Ministry of Economy, Trade and Industry released in 2023 suggesting best practices for corporate takeovers have helped fuel the M&A boom. In cases where both a company and its subsidiary were listed, a not uncommon arrangement in Japan's share market that's been criticized as leading to conflicts of interest, parent firms have bought out units to steer clear of governance concerns. The planned takeover by Japan's biggest telecom firm, Nippon Telegraph & Telephone Corp., of its unit NTT Data Group Corp. is one example of that. As the costs of maintaining a public listing rise and activist shareholders push for more payouts and policy changes, takeovers of companies by management are climbing. I'rom Group Co., a company that supports clinical trials, teamed up with US investment firm Blackstone Inc. to take its shares private, in one such instance. Tao Zhiyuan, a portfolio manager at AllianceBernstein Japan Ltd., said that Japan's chemical sector has 'many interesting niche-top stocks,' but a lot of them are too small for global funds to invest in. If Japan as a whole 'sees an increase in the number of large, strong companies through M&A, the number of investment targets from a foreign perspective will increase,' he said.
Kuwait Times
3 days ago
- Business
- Kuwait Times
Oil prices rally, stocks slide as traders track Zionist-Iranian crisis
TOKYO: An electronic quotation board displays the Nikkei Stock Average on the Tokyo Stock Exchange in Tokyo on June 17, 2025. - AFP LONDON: Oil prices jumped and stocks mostly fell Tuesday after US President Donald Trump abruptly departed G7 talks to monitor the conflict between Zionist entity and Iran and called for Tehran residents to evacuate. Investors' optimism the previous day that the conflict would not spread throughout the Middle East gave way to fears of further escalation as the conflict entered its fifth day. 'Middle East tensions are showing no signs of easing back, putting investors on high alert,' said Russ Mould, investment director at AJ Bell. Trump said he was aiming for a 'real end' to the conflict, not just a ceasefire after he departed the G7 summit in Canada. 'Iran should have signed the 'deal' I told them to sign,' he said on social media, referring to nuclear talks that were taking place. European equities struggled, with Paris and Frankfurt stocks both shedding over one percent, while London also retreated. In Asia, Hong Kong fell, while Shanghai was flat and Tokyo advanced. Despite mounting calls to de-escalate, neither side has backed off from the missile blitz that began Friday, when Zionist entity targeted Iranian nuclear and military facilities. Oil prices climbed around two percent on Tuesday after swinging between gains and losses since Friday's initial surge. But gains were tempered after the International Energy Agency said in its 2025 report that global demand would fall slightly in 2030 for the first time since the start of the COVID pandemic in 2020. 'We don't expect high oil prices to be with us for a very long time,' said IEA executive director Fatih Birol. He added that the IEA is 'monitoring the situation' and is 'ready to act' in the case of a supply disruption. 'There are a lot of eyes on the oil markets - not just for geopolitical reasons but for their broader economic impact,' said Matt Britzman, senior equity analyst at Hargreaves Lansdown. 'Energy prices remain a crucial piece of the inflation puzzle, and falling oil had been a cornerstone of the US President's pressure campaign to nudge the Fed toward rate cuts,' he added. Investors are looking ahead to the US Federal Reserve's decision on Wednesday, with policymakers expected to hold interest rates. Dealers also kept tabs on the G7 summit, where world leaders pushed back against Trump's trade war, arguing it posed a risk to global economic stability. Britain, Canada, Italy, Japan, Germany and France called on the president to reverse course on his plans to impose even steeper tariffs on countries across the globe next month. Trump managed to sign documents with UK Prime Minister Keir Starmer to confirm an agreement over trade with Britain. On currency markets, the yen edged up against the dollar after the Bank of Japan stood pat on interest rates and said it would slow the tapering of its bond purchases. — AFP
CNA
13-06-2025
- Business
- CNA
Exclusive-SBI Shinsei Bank preparing to relist by year-end, sources say
TOKYO :SBI Shinsei Bank, a unit of SBI Holdings, plans to file as early as next month for a relisting on the Tokyo Stock Exchange, two people familiar with the matter said. The bank, which aims to go public again by the end of the year, would follow a series of sizeable listings in Japan over the past year as companies look to capitalise on market momentum that has seen the Nikkei share average trade near record highs. Relisting the mid-sized lender has been a target for Yoshitaka Kitao, the CEO of SBI, a financial conglomerate whose businesses span banking, asset management, technology and cryptocurrency. SBI took SBI Shinsei private in 2023 after making it a subsidiary two years earlier. SBI Holdings said it has maintained for some time it is considering listing SBI Shinsei Bank and that the July filing and year-end listing are not something it is aware of. The people did not wish to be identified as the information is not public. SBI Shinsei Bank did not respond to a request for comment. SBI Shinsei is aiming for a valuation of around 1.5 trillion yen ($10.46 billion), one of the people said, around double the current value of JX Advanced Metals, which listed in March. The final figure will depend on market conditions, and the offering size is yet to be finalised, the person added. SBI group companies are expected to offload some of their stake in SBI Shinsei Bank in the float, one of the people said. SBI Holdings' shares jumped by more than 3 per cent on Friday to 4,473 yen following news of the listing plan. In comparison, the Nikkei was down 1.25 per cent. The bank tapped Nomura Securities and Goldman Sachs this month as joint global coordinators for the listing, and several other underwriters have been selected to join the group, the sources said. Nomura and Goldman Sachs declined to comment. SBI Shinsei's predecessor bank went bankrupt during the 1990s banking crisis and was later sold to private equity investors, including JC Flowers & Co and Ripplewood. It went public in 2004, generating huge gains and making it the first Japanese lender to be owned by foreign investors. Yet the bank was never able to repay the billions it still owes Japanese taxpayers after its bail-out, something that has long rankled in Japan. Last month, SBI Holdings raised approximately 290 billion yen by issuing new shares to NTT and selling its stake in SBI Sumishin Net Bank to NTT Docomo. The proceeds of that are intended to repay the roughly 230 billion yen in public funds injected into Shinsei Bank. The repayment of the public funds is expected to be completed before the relisting, one of the people said. ($1 = 143.4700 yen)
Yahoo
13-06-2025
- Business
- Yahoo
Exclusive-SBI Shinsei Bank plans to file in July to relist by year-end, sources say
By Miho Uranaka TOKYO (Reuters) -SBI Shinsei Bank, a unit of SBI Holdings, plans to file as early as next month for a relisting on the Tokyo Stock Exchange, two people familiar with the matter said. The bank, which is aiming to go public again by the end of the year, would follow a series of sizeable listings in Japan over the past year as companies look to capitalise on market momentum that has seen the Nikkei share average trade near record highs. SBI Shinsei's predecessor went bankrupt in 1998 and was nationalised. It became a subsidiary of SBI Holdings in 2021 and was delisted in 2023. The mid-sized lender is aiming for a valuation of around 1.5 trillion yen ($10.46 billion), one of the people said, around double the current value of JX Advanced Metals, which listed in March. The final figure will depend on market conditions, and the offering size is yet to be finalised, the person added. SBI group companies are expected to offload some of their stake in SBI Shinsei Bank in the float, one of the people said. The bank tapped Nomura Securities and Goldman Sachs this month as joint global coordinators for the listing, and several other underwriters have been selected to join the group, the sources said. The people declined to be identified as the information is not public. SBI Holdings said it has maintained for some time it is considering listing SBI Shinsei Bank and that the July filing and year-end listing are not something it is aware of. Nomura and Goldman Sachs declined to comment. SBI Shinsei Bank did not respond to a request for comment. Last month, SBI Holdings raised approximately 290 billion yen by issuing new shares to NTT and selling its stake in SBI Sumishin Net Bank to NTT Docomo. The proceeds of that are intended to repay the roughly 230 billion yen in public funds injected into Shinsei Bank. The repayment of the public funds is expected to be completed before the relisting, one of the people said. ($1 = 143.4700 yen) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNA
13-06-2025
- Business
- CNA
Exclusive-SBI Shinsei Bank plans to file in July to relist by year-end, sources say
TOKYO :SBI Shinsei Bank, a unit of SBI Holdings, plans to file as early as next month for a relisting on the Tokyo Stock Exchange, two people familiar with the matter said. The bank, which is aiming to go public again by the end of the year, would follow a series of sizeable listings in Japan over the past year as companies look to capitalise on market momentum that has seen the Nikkei share average trade near record highs. SBI Shinsei's predecessor went bankrupt in 1998 and was nationalised. It became a subsidiary of SBI Holdings in 2021 and was delisted in 2023. The mid-sized lender is aiming for a valuation of around 1.5 trillion yen ($10.46 billion), one of the people said, around double the current value of JX Advanced Metals, which listed in March. The final figure will depend on market conditions, and the offering size is yet to be finalised, the person added. SBI group companies are expected to offload some of their stake in SBI Shinsei Bank in the float, one of the people said. The bank tapped Nomura Securities and Goldman Sachs this month as joint global coordinators for the listing, and several other underwriters have been selected to join the group, the sources said. The people declined to be identified as the information is not public. SBI Holdings said it has maintained for some time it is considering listing SBI Shinsei Bank and that the July filing and year-end listing are not something it is aware of. Nomura and Goldman Sachs declined to comment. SBI Shinsei Bank did not respond to a request for comment. Last month, SBI Holdings raised approximately 290 billion yen by issuing new shares to NTT and selling its stake in SBI Sumishin Net Bank to NTT Docomo. The proceeds of that are intended to repay the roughly 230 billion yen in public funds injected into Shinsei Bank. The repayment of the public funds is expected to be completed before the relisting, one of the people said. ($1 = 143.4700 yen)
