Tag Archives: Japan
FILE PHOTO – The Subaru logo is displayed at the North American International Auto Show in Detroit, Michigan, U.S., January 14, 2019. REUTERS/Brendan McDermid
TOKYO (Reuters) – Subaru Corp said its sole car factory in Japan accounting for roughly 60 percent of global production had halted output a week ago after it discovered a defect in a component procured from a supplier.
The Asahi newspaper first reported the suspension on Wednesday, saying the defect was found in the power steering component.
Subaru, which exports the majority of its domestically made cars, said it was still in the process of identifying where the defect was, and could not say when production would resume.
Reporting by Maki Shiraki; Writing by Chang-Ran Kim; Editing by Stephen Coates
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TOKYO (Reuters) – Japanese regulators on Wednesday said Apple Inc (AAPL.O) may have breached antitrust rules by forcing mobile service providers to sell its iPhones cheaply and charge higher monthly fees, denying consumers a fair choice.
The FTC, which began looking into Apple’s sales practices in 2016, did not punish Apple as the U.S. company had agreed to revise its contracts with the carriers, it said.
Reporting by Makiko Yamazaki and Yoshiyasu Shida; Editing by Ritsuko Ando
TOKYO (Reuters) – A Japanese state-backed fund plans to sell part of its stake in Renesas Electronics Corp, giving the chipmaker more freedom to make acquisitions as it seeks to bolster its global competitiveness, public broadcaster NHK reported.
The fund, Innovation Network Corp of Japan (INCJ), will reduce its stake to around 33 percent from 45.6 percent, NHK said on Tuesday, without citing sources.
INCJ plans to sell the shares through the market, according to the NHK report.
Renesas shares dived 8 percent following the report.
Representatives for INCJ were not immediately available for comment.
INCJ rescued cash-strapped Renesas in 2013 with an investment of 150 billion yen ($ 1.4 billion), and had received 69 percent of the chipmaker, but whittled down its stake as the company regained its footing.
Last month, INCJ agreed to sell a 4.5 percent stake in Renesas to auto parts supplier Denso Corp.
Renesas last year bought U.S. chipmaker Intersil Corp for $ 3.2 billion and its chief executive said it was constantly reviewing its list of potential acquisition targets.
Reporting by Chris Gallagher; Editing by Subhranshu Sahu and Sherry Jacob-Phillips
TOKYO (Reuters) – SoftBank Group Corp (9984.T) said on Monday it was considering listing its Japanese wireless business, seeking to raise a reported $ 18 billion in a move that would accelerate the conglomerate’s transformation into one of the world’s biggest tech investors.
A spin-off – potentially the biggest IPO by a Japanese company in nearly two decades – would also give the unit more autonomy as well as help investors with valuing the business and its parent.
SoftBank Group, which saw its shares climb 4 percent on the news, has a vast range of holdings including stakes in British chip designer ARM Holdings ARM.L, struggling U.S. wireless service provider Sprint Corp (S.N) as well as Alibaba Group Holding Ltd (BABA.N).
It has with other investors also set up a $ 93 billion Vision Fund, that is investing in range of firms to capitalize on a tech future expected to be driven by artificial intelligence, robotics and interconnected devices.
SoftBank Group plans to sell some 30 percent of SoftBank Corp, raising around 2 trillion yen ($ 18 billion) that would go towards investments in growth, such as buying into foreign information-technology companies, the Nikkei newspaper said without citing sources.
It plans to seek approval from the Tokyo Stock Exchange as early as spring and aims to debut in Tokyo as well as overseas, possibly London, around autumn, the business daily said.
SoftBank Group said in a statement that a listing of the business was one option for its capital strategy but that no such decision had been made.
A 2 trillion yen ($ 18 billion) IPO would be one of the biggest listings by a Japanese company, rivaling the 2.2 trillion yen 1986 offering of Nippon Telegraph and Telephone Corp (9432.T) as well as a 2.1 trillion yen listing by NTT DoCoMo Inc (9437.T) a decade later.
“It makes sense to spin off the mobile-phone business using a public offering that would leave SoftBank in control and provide SoftBank with more cash to pursue its strategy of investing in companies with potentially high growth prospects,” Erik Gordon, a professor at the University of Michigan’s Ross School of Business.
“It is a way of obtaining capital without adding debt or diluting SoftBank’s equity interests in the growth companies.”
The domestic telecoms unit, Japan’s No. 3 wireless carrier, posted a 4.5 percent rise in operating profit to 720 billion yen in the year ended March on sales of 3.2 trillion yen.
SoftBank Group’s complicated structure and constant stream of new investments have left many investors struggling to value the company with analysts often noting that its market value does not accurately reflect the value of its massive holdings.
SoftBank’s market value currently stands at around $ 92 billion. By contrast, its near 30 percent stake in Alibaba is worth around $ 140 billion.
Large companies seeking to list in Tokyo are required to float at least 35 percent of their shares although these rules can be eased when the company is also listing overseas.
Reporting by Yoshiyasu Shida and Sam Nussey; Additional reporting by Chris Gallagher and Minami Funakoshi; Writing by William Mallard; Editing by Edwina Gibbs
TOKYO (Reuters) – The chief executive of Japan’s largest bank expects new business opportunities to appear as digital currencies allow collection of data on how people use their money.
While Japan’s big banks have distanced themselves from bitcoin and other existing digital currencies, they are trying to create their own to provide cheaper and easier means of payments and money transfers.
“We would be able to capture kinds of financial behavior that cannot be collected as data in cash transactions,” said Nobuyuki Hirano, CEO of Mitsubishi UFJ Financial Group (MUFG), speaking as chairman of the Japanese Bankers Association at a news conference on Thursday.
“We can use the data to create new value.”
Hirano’s bank is developing its own “MUFG Coin” digital currency using the blockchain technology behind bitcoin.
The bank has been conducting experiments with MUFG Coin among its employees, including using the currency to split restaurant bills with each other over their smartphones.
Unlike bitcoin and other so-called cryptocurrencies, MUFG Coin is tied to Japanese yen, so users can exchange it for yen at the same rate as they bought the digital currency.
MUFG has said it plans to expand the experiment to involve all of its 30,000 domestic employees next year.
Japan’s third-largest lender Mizuho Financial Group is also developing its own digital currency, J Coin, targeting widespread use by 2020.
Reporting by Taiga Uranaka; Editing by David Goodman