Tokyo, Oct. 6 (Jiji Press)–The Japanese government said Wednesday that it will sell more Japan Post Holdings Co. <6178> shares and use all proceeds for reconstruction following the March 2011 massive earthquake and tsunami.
The government will sell some 1,027.47 million shares, or some 27 pct of the company’s outstanding shares. The proceeds are estimated at around 950 billion yen.
On the same day, Japan Post Holdings announced a 100-billion-yen share buyback plan, in a bid to ease the impact of the share sale by the government.
The government’s stake in the company fell to about 60 pct after its two previous share sales, in 2015 and 2017.
Following the third sale, its stake is seen dropping to around the minimum required level of one-third under the postal privatization law.