Japan Post plans $4 bn share sale in Japan Post Bank

February 26, 2025 at 02:31AM
Reuters with the info.

In summary:

Japan Post Holdings is preparing to sell shares in Japan Post Bank
worth approximately 600 billion yen ($4.02 billion), sources say. The
sale would reduce Japan Post’s stake below 50%, loosening its
control and allowing the bank greater operational flexibility by
easing regulatory restrictions.

The move aligns with
Japan’s corporate governance reforms, which aim to increase
free-float shares and reduce parent-child listings. The decision
could be finalized as soon as this week, with Japan Post Bank also
planning a share buyback, according to sources.

Japan Post
previously cut its stake in Japan Post Bank in 2023 and currently
owns 61.5%, following a similar reduction in Japan Post Insurance to
49.8%. The bank recently reported a 17% rise in net profit for the
nine months through December, benefiting from higher interest rates.

Both Japan Post and
Japan Post Bank stated they are considering capital policy options
but have made no final decisions.

This article was written by Eamonn Sheridan at www.forexlive.com.