Author: Takako Taniguchi
Toyota Motor announced plans to buy back ¥806.8 billion ($5.2 billion) worth of its stock from major Japanese banks and insurers, marking a strategic move to unwind longstanding shareholdings with financial partners. In a statement, Toyota revealed that Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group, Tokio Marine Holdings, and MS&AD Insurance Group Holdings are all tendering their shares at a discounted price of ¥2,781 apiece, representing an 11% discount to the closing price on Tuesday. This buyback initiative is part of Toyota’s larger ¥1 trillion repurchase plan announced in May. By engaging in these buybacks, Toyota aims to comply…
Blackstone has recently launched its first private equity fund for Japanese individual investors and managed to raise an impressive $1.2 billion in just four months. This milestone signals a growing interest in alternative assets among the Asian nation. The Blackstone Private Equity Strategies Investment Trust, denominated in dollars, hit the equivalent of ¥188 billion by the end of June, as reported by the Japan Securities Dealers Association. Traditionally, alternative investment products have not been popular in Japan due to their low liquidity. However, there is a shift happening as the government encourages individuals to diversify their investment portfolio. With inflation…
Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group are set to divest ¥1.32 trillion ($8.5 billion) worth of strategic shareholdings in Toyota, marking a significant shift in Japan’s corporate landscape. The move signals a trend towards unwinding the extensive network of cross-held shares that has long characterized Japanese business relationships. The banks plan to sell off their shares in stages while taking advantage of Toyota’s own buyback program, announced on May 8. The carmaker’s ¥1 trillion buyback represents approximately 3% of its stock, a substantial increase from previous repurchases. This strategic unwinding is carefully designed to minimize any negative…