Japan govt to raise $7.4 billion from Japan Post share sale (updated)

Japan Post Insurance

25/10/2021 12:05

(Updates with income from share sale)
    TOKYO, Oct 25 (Reuters) - The Japanese government will raise
836.7 billion yen ($7.4 billion) from selling shares in Japan
Post Holdings  6178.T   under a plan to secure reconstruction
funding for areas hit by the 2011 earthquake and tsunami, it
said on Monday.
    In the plan to divest up to 1.03 billion shares, the
government will price each share at 820.6 yen, 2% below Monday's
closing price. 
    The sale accounts for a stake of around 27%, lowering the
government's ownership to one-third - the minimum allowed by
law. It is the third such sale of shares in Japan Post Holdings.
    The government raised 3.05 trillion yen ($26.88 billion)
from the previous sales of shares in the formerly state-owned
Japan Post Holdings and its affiliates, making up about 10% of
Japan's reconstruction budget of some 32 trillion yen over a
decade. 
    The amount being raised this time is far smaller than the
previous sale which generated 1.398 trillion yen.
    In 2015, Japan Post Holdings, Japan Post Insurance and Japan
Post Bank listed in what was the country's biggest privatisation
in about three decades.
    
($1 = 113.4500 yen)

 (Reporting by Tetsushi Kajimoto and Takaya Yamaguchi; Editing
by Kirsten Donovan)
 ((Makiko.Yamazaki@thomsonreuters.com; +81-3-4563-2805;))