Latest news with #JapanPostBank
Yahoo
11-03-2025
- Business
- Yahoo
Japan Post Bank stake sale raises $4bn in privatisation effort
Japan Post Holdings has raised Y592bn ($4bn) through the sale of Japan Post Bank shares, marking the largest stock sale in Japan since 2023, reported Bloomberg. This move is part of Japan Post's ongoing privatisation strategy, aiming to reduce its stake in the bank below 50%. The sale, priced at Y1,444 per share, marks a 2% discount from the previous closing price. The share sale, including an over-allotment option, involved 410 million shares, as stated in a finance ministry filing. As per a term sheet released last month, Japan Post had initially planned a discount range of 2% to 4% for the sale. Japan Post's decision to sell part of its bank unit shares is also intended to enhance the bank's management flexibility. The funds raised will be used for growth investments in logistics, improving shareholder returns, and enhancing capital efficiency. Goldman Sachs, JPMorgan Chase, Daiwa Securities, and Nomura Holdings were among the banks facilitating the sale. Japan Post Bank's recent financial performance showed mixed results. For the nine months ending 31 December 2024, ordinary income decreased by Y23.9bn year-on-year to Y1.91tn. However, interest income rose by Y228.3bn, reaching Y1.26tn. The bank's other operating income dropped by Y1.6bn to Y3.1bn. Ordinary expenses reduced by Y98.1bn to Y1.46tn, although interest expenses increased by Y96.7bn, amounting to Y607.3bn. General and administrative expenses decreased by Y9.7bn to Y689.6bn. Net ordinary income rose by Y74.1bn, reaching Y441.2bn, fulfilling 76.7% of the full-year earnings forecast. Net income attributable to the parent company increased by Y45.0bn, totalling Y308.3bn, achieving 77% of the full-year earnings forecast of Y400bn. "Japan Post Bank stake sale raises $4bn in privatisation effort " was originally created and published by Retail Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
27-02-2025
- Business
- Yahoo
Exclusive-Japan Post planning $4 billion sale of shares in Japan Post Bank, sources say
By Miho Uranaka and Takaya Yamaguchi TOKYO (Reuters) - Japan Post Holdings is planning to sell shares in Japan Post Bank which could total some 600 billion yen ($4.02 billion), two sources familiar with the matter said, in the latest loosening of ties between the businesses. The postal giant, whose shareholders include the Japanese government, plans to reduce its stake below 50%, said the two sources and a third person familiar with the plan. That would give Japan Post Bank more freedom to do business as restrictions intended to protect private companies would be relaxed. The sale comes as corporate governance reforms are accelerating in Japan with "parent-child" listings, where companies have a listed subsidiary, being scrutinised and companies under pressure to increase free-float share ratios. The sale could be decided as soon as this week, the sources said. Japan Post Bank is also planning to launch a share buyback, two of the sources said. The sources declined to be named as the information is not public. Shares in Japan Post Bank fell 4% following the Reuters report before trimming losses to close down 1.5%. Japan Post and Japan Post Bank said they are considering various options from a capital policy perspective, but no decisions have been made. Japan Post, Japan Post Bank and Japan Post Insurance listed in 2015 in what was Japan's largest privatisation in about three decades. Japan Post cut its exposure to Japan Post Bank in 2023 and currently owns 61.5%. The postal giant has already reduced its shareholding in Japan Post Insurance to 49.8%. Japan Post Bank's net profit for the nine months to December climbed 17% to 308 billion yen as rising interest rates boosted profits. ($1 = 149.4300 yen)
Yahoo
27-02-2025
- Business
- Yahoo
Japan Post Plans Sale of $4.2 Billion Stake in Banking Unit
(Bloomberg) -- Japan Post Holdings Co. plans to sell a stake in Japan Post Bank Co. that could raise ¥630 billion ($4.2 billion), the latest disposal in the former state-run giant's decade-long privatization efforts. The Trump Administration Takes Aim at Transportation Research Shelters Await Billions in Federal Money for Homelessness Providers NYC's Congestion Pricing Pulls In $48.6 Million in First Month New York's Congestion Pricing Plan Faces Another Legal Showdown NYC to Shut Migrant Center in Former Hotel as Crisis Eases The company will sell as many as 416.1 million shares at a discount of 2% to 4% of the stock's market price, according to a term sheet of the deal. Japan Post Bank plans to buy back as much as ¥60 billion of shares and cancel them. The sale could bring the holding company's stake in the banking unit to below the 50% threshold it had pledged to do by the end of fiscal year ending March. That would give more autonomy to the bank, which is currently largely banned from lending business and manages most of its assets in securities such as foreign and domestic bonds. 'The reduction of Japan Post's shareholding ratio will give the company more freedom when tackling new projects and will make it easier to expand profit-earning opportunities,' said Naoki Fujiwara, senior fund manager at Shinkin Asset Management. 'The stock price level is undervalued, the dividend yield is high, and there is a sense of security that the company will not go out of business, so there may be a certain level of demand for buying.' Japan Post Bank shares rose 1.2% to close at ¥1,524 in Tokyo on Thursday. The Japanese government broke the former state monopoly into three separate companies — parent, banking unit and insurer — in a ¥1.4 trillion three-pronged initial public offering in 2015. The Ministry of Finance still owns more than a third of Japan Post Holdings, which in turn holds 61.5% of Japan Post Bank, according to data compiled by Bloomberg. Japan Post Holdings has also been selling shares in its insurance unit, as required by law. Goldman Sachs Group Inc., JPMorgan Chase & Co., Daiwa Securities Group Inc. and Nomura Holdings Inc. are among banks arranging the deal. --With assistance from Nao Sano. (Updates with fund manager's comment in the fourth paragraph) Trump's SALT Tax Promise Hinges on an Obscure Loophole Warner Bros. Movie Heads Are Burning Cash, and Their Boss Is Losing Patience Walmart Wants to Be Something for Everyone in a Divided America China Learned to Embrace What the US Forgot: The Virtues of Creative Destruction Meet Seven of America's Top Personal Finance Influencers ©2025 Bloomberg L.P.
Reuters
26-02-2025
- Business
- Reuters
Exclusive: Japan Post planning $4 billion sale of shares in Japan Post Bank, sources say
TOKYO, Feb 26 (Reuters) - Japan Post Holdings (6178.T), opens new tab is planning to sell shares in Japan Post Bank (7182.T), opens new tab which could total some 600 billion yen ($4.02 billion), two sources familiar with the matter said, in the latest loosening of ties between the businesses. The postal giant, whose shareholders include the Japanese government, plans to reduce its stake below 50%, said the two sources and a third person familiar with the plan. That would give Japan Post Bank more freedom to do business as restrictions intended to protect private companies would be relaxed. The sale comes as corporate governance reforms are accelerating in Japan with "parent-child" listings, where a company controls a listed subsidiary, being scrutinised and companies under pressure to increase free-float share ratios. The sale could be decided as soon as this week, the sources said. Japan Post Bank is also planning to launch a share buyback, two of the sources said. The sources declined to be named as the information is not public. Shares in Japan Post Bank fell 4% following the Reuters report. Japan Post and Japan Post Bank said they are considering various options from a capital policy perspective, but no decisions have been made. Japan Post, Japan Post Bank and Japan Post Insurance (7181.T), opens new tab listed in 2015 in what was Japan's largest privatisation in about three decades. Japan Post cut its exposure to Japan Post Bank in 2023 and currently owns 61.5%. The postal giant has already reduced its shareholding in Japan Post Insurance to 49.8%. Japan Post Bank's net profit for the nine months to December climbed 17% to 308 billion yen as rising interest rates boosted profits. ($1 = 149.4300 yen)
