Japan Plans to Sell $8.9 Billion Postal Giant Stake in October
Japan Plans to Sell $8.9 Billion Postal Giant Stake in October
(Bloomberg) -- The Japanese government plans to sell about 1 trillion yen ($8.9 billion) shares in Japan Post Holdings Co. as soon as next month, marking the state’s ongoing privatization of the postal and financial-services giant six years after its initial public offering.
Government officials told bankers on Wednesday that it will announce the third round of the share sale on Oct. 6 and aims to complete the offering that month, according to people with knowledge of the matter who asked not to identified because the matter is private. The 1 trillion target is based on Tuesday’s closing price, they said.
With the offering, the state plans to cut its stake to one-third -- the minimum it’s required to hold by law -- from about 61% currently, the people said. Japan Post is also considering buying back some of its shares from the government, they said. Bloomberg reported earlier the government may kick off the sale process as early as this week.
An official at the Ministry of Finance said the timing of the third sale will be judged appropriately. A representative for Japan Post said nothing is decided about a possible share buyback.
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