Reported 11 months ago
Japanese megabanks Mitsubishi UFJ Financial Group Inc. and Sumitomo Mitsui Financial Group Inc. are set to divest ¥1.32 trillion ($8.5 billion) of stock in Toyota Motor Corp., potentially leading to more consequential shareholder meetings in Japan as cross-held shares among major companies unwind. The government aims to improve corporate governance by unraveling these long-standing business relationships, but the divestments, happening over time to minimize stock price impact, may introduce more unpredictability. Toyota's upcoming shareholder meeting, where Chairman Akio Toyoda faces reappointment amid declining support due to concerns over EV strategies and recent certification issues, could be a turning point with the influence of individual investors increasing as stable shareholders decrease.
Source: YAHOO