Review and Reduction of Strategic Shareholdings Held to Maintain Business Relationships
First written in FY2019. 3 of 5 entries say "Advanced", first in FY2020. Latest entry: FY2026.
The whole theme swung hardest in 2019: 18 of 136 companies on the "Worse" side.
- FY2026Increase in cross-shareholdings with no salesAnnual report
「In the 186th fiscal year, the number of shares increased through purchases via the employee stock ownership plan involving 3 holdings and the maintenance and strengthening of business relationships involving 1 holding, with an aggregate acquisition cost of ¥7.649 million.」
While maintaining its policy of annual rationality reviews and phased sales, the company reported no sales during the fiscal year and increased its holdings in 4 companies for a total of ¥7.649 million. - FY2022AdvancedAnnual report
「In the 182nd fiscal year, the company sold 4 holdings, comprising a total of 38,140 shares, for aggregate proceeds of ¥85.399 million. The number of shares also increased through purchases via the employee stock ownership plan involving 5 holdings, with an aggregate acquisition cost of ¥3.888 million.」
Subject to the annual review of rationality by the Board of Directors, the company sold 4 cross-shareholdings while increasing its holdings in 5 companies through the employee stock ownership plan. - FY2021AdvancedAnnual report
「In the 181st fiscal year, the company sold 2 holdings, comprising a total of 3,345 shares, for aggregate proceeds of ¥10.517 million. The number of shares also increased through purchases via the employee stock ownership plan involving 5 holdings, with an aggregate acquisition cost of ¥4.497 million.」
The company sold 2 cross-shareholdings while increasing its holdings in 5 companies through the employee stock ownership plan. - FY2020AdvancedAnnual report
「The rationality of holdings is reviewed annually by the Board of Directors for each individual holding. In addition to market value and dividend yield, the Board closely examines economic rationality, including trends in business relationships, and comprehensively reviews the rationale for the holding and its contribution to the business. For holdings deemed by the Board to have little rationality, the company will proceed with phased sales after taking the circumstances of the investee companies into consideration.」
The company provided specific details of the annual Board of Directors review of the rationality of individual holdings. Meanwhile, it acquired 6 additional holdings during the fiscal year, for a total acquisition cost of ¥21.837 million. - FY2019First statedAnnual report
「The company holds cross-shareholdings when it determines that doing so will help build stable relationships with business partners and contribute to sustainable growth and the enhancement of corporate value over the medium to long term. Each year, the Board of Directors reviews each cross-shareholding, including its rationale and economic rationality. For holdings deemed to have little strategic value, the company will proceed with phased sales after taking the circumstances of the investee companies into consideration.」
The company stated for the first time that it holds cross-shareholdings to maintain business relationships and enhance corporate value, reviews their rationale and economic rationality annually at Board of Directors meetings, and plans to sell holdings with little strategic value in stages.