Banking, Commercial Banking, Banking/Credit, Financial Services, Equity Markets, Commodity/Financial Market News, Content Types, Factiva Filters, C&E Exclusion Filter, Synd

Banking, Commercial Banking

Breaking Up Japan Inc.’s Love Affair With Itself

Japanese companies are divesting themselves from each other at a quickening pace—a development shareholders should cheer.

6/21/2021 11:00:00 AM

Heard on the Street: Japanese companies are divesting themselves from each other at a quickening pace—a development shareholders should cheer

Japanese companies are divesting themselves from each other at a quickening pace—a development shareholders should cheer.

makes up around 85% of its market capitalization.While reducing cross-shareholding has long been an objective of Japan’s corporate-governance overhaul, some recent events may have hastened the pace. The Tokyo Stock Exchange is set to revamp its Topix indexes from April next year. The calculation of free float to qualify for the top-tier index will exclude strategic shareholdings.

Africa's most populous city is battling floods and rising seas. It may soon be unlivable, experts warn The Latest: Health official says masks protect unvaccinated No hard feelings: Jewett finishes with racer who tripped him

Investor advisory firms Glass Lewis andhave issued guidelineslinking support for existing management with cross-shareholdings. ISS recommends investors vote against top executives if a company’s cross-shareholdings are higher than 20% of its net assets. Glass Lewis suggested shareholders vote against a company’s chairperson if that ratio is 10% or more. Meanwhile, nearly a quarter of companies in TSE’s first section have cross-shareholdings equal to 10% or more of their net assets, said Goldman Sachs.

But it’s hard to tell if the unwinding of the cross-shareholding is really going to continue. Such divestitures are especially hard for banks, which see the holdings as a way to keep relationships with clients.The rise of activist investors in Japan may help nudge companies in the right direction, but they still face strong resistance from management. The recent Toshiba drama headtopics.com

encapsulates that dynamic: Management, with the help of government officials, initially managed to brush aside demands from investors, though the latter have now pushed back.Long-suffering investors in Japanese stocks have dreamed of more accountable managers who might take bigger risks or return more cash to shareholders. The fight is far from over, but recent events show that shareholders increasingly have the wind at their back.

Read more: The Wall Street Journal »

UNESCO grants world heritage status to Madrid's Paseo del Prado and Retiro Park

UNESCO added Madrid's historic Paseo del Prado boulevard and Retiro Park to its list of world heritage sites on Sunday.

Japan isn’t the only country practiced CrossShareholding, Germany is equally guilty of. And of late, China too became an ardent follower of such practice. Japanese divestiture suggests weakening of SogoSosha under assault from ChinaInc. Now they have to fend for themselves

BTS Spot for Hyundai Is No. 1 on YouTube Global Ad RankingBTS, record-breaking K-pop sensations, have claimed another title: The group’s appearance in Hyundai Motor Co.’s Earth Day-themed ad last year is No. 1 on YouTube’s latest global … BTS_twt BTS PAVED THE WAY BTS_twt They will be like 'idk why but whatever I do I'm the no.1 always' and it's the fact BTS_twt Ended Tiffany ads with ease 😄

What is Signal? The basics of the most secure messaging app.If you love privacy, there's a lot to love about Signal.

Wonho Rising: A K-Pop Prince Stakes His Claim to the ThroneMeet the singer who’s breaking hearts just as quickly as he’s breaking stereotypes Olamide's album is mad Proud of official__wonho 💙 molly_madd 😊How I would like another production like this! Love it! Thanks for the article! WONHO Kiiara official__wonho KIIARA ▶

Biden Administration Will Cover Gender-Affirming Surgery for Trans VeteransPreviously, the Department of Veterans Affairs’ insurance covered mental health services and hormone therapy, but excluded surgery

VA moves to offer gender confirmation surgery to vetsThe Department of Veterans Affairs is moving to offer transgender veterans gender confirmation surgery. If I was a Billionaire I'd relocate families that have been stuck in the shithole south generation after generation by GOPs bad govern, policies no work, Just suppression and oppression under GOPs thumb to any Blue state with a Job. Ridiculous

Hugh Grant savagely hits back at claim he married wife for 'passport reasons'The Love Actually favourite Hugh Grant took to Twitter to put the speculation to bed when he insisted that he married his wife because he loved her Better than back of car