Arab Today, arab today toyota wins investor vote on controversial new shares
Last Updated : GMT 06:59:43
Arab Today, arab today
Arab Today, arab today

Must be held for 5 years, will not be publicly traded

Toyota wins investor vote on controversial new shares

Arab Today, arab today

Arab Today, arab today Toyota wins investor vote on controversial new shares

Shareholders enter headquarters of Japanese auto giant Toyota Motor
Tokyo - Arab Today

Toyota won approval Tuesday for a controversial new share sale that it defended as a way to lure stable, long-term investors, overcoming stiff opposition from some institutional shareholders overseas.

The world's biggest automaker said 75 percent of shareholders voted in favour of the plan that would see it sell up to 50 million of the new shares, which must be held for five years and will not be publicly traded.

Largely restricted to Japanese investors, the new "Model AA" shares carry voting rights and will be priced at a 20 percent premium on Toyota's common shares, which closed at 8,395 yen ($68) in Tokyo.

Dividends paid on the new shares would rise from 0.5 percent to 2.5 percent by the end of the five-year holding period when investors could convert them to common shares or Toyota would repurchase them, it said.

Later Tuesday, the company said it would buy back as much as 600 billion yen ($4.9 billion) in stock to guard against dilution from the new share issue.

Toyota, which booked a record $18 billion profit in its latest fiscal year, said the share structure would lure longer-term investors and help it fund expensive research work, particularly on next-generation technology such as fuel cell cars.

The vote comes weeks after Japan formally adopted a corporate governance code that was hailed as ushering in a new era of transparency for investors.

US-based advisory Institutional Shareholder Services said the new shares would reduce investors' influence over management decisions.

"It is difficult to escape the impression that the company wants to increase stable and silent investors by replacing common shareholders with Model AA shareholders," it added.

The California State Teachers’ Retirement System, which announced it would vote against the plan, said it was "not in the best interests of all Toyota common stock shareowners -- particularly foreign shareowners".

We do "not  believe that the creation of a dual class of common stock aligns with the 'one share, one vote' principle", it said.

"Toyota’s Model AA Class Shares would be unlisted and offered only in Japan, thus hindering investors outside of Japan from participating."
Source: AFP

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today toyota wins investor vote on controversial new shares Arab Today, arab today toyota wins investor vote on controversial new shares

 



Arab Today, arab today
Arab Today, arab today Fadi explains secrets of  Nancy Ajram's newlook

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 12:38 2017 Thursday ,23 February

Lower fares hit Qantas first half profit

GMT 10:57 2017 Thursday ,23 February

Chief executive out at Paramount Pictures

GMT 07:26 2017 Thursday ,23 February

A peek inside Qatar's 'gas capital of the world'

GMT 11:26 2017 Wednesday ,22 February

Dutch corporate takeover defences tough to breach

GMT 11:14 2017 Wednesday ,22 February

Lloyds Banking Group posts surging profits

GMT 10:01 2017 Tuesday ,21 February

Egypt pound rebounds from flotation slide

GMT 09:57 2017 Tuesday ,21 February

Greece agrees to bailout reforms compromise
View News in Arabic - Business: أخبار الأعمال
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday