Japan avoids takeover

The threat of acquisition is driving Japanese companies to focus on shareholder value and attracting...

The threat of acquisition is driving Japanese companies to focus on shareholder value and attracting foreign investors back to Japan in the process. Denis Clough, manager of Schroder's Japan Growth Fund, said the increasing threat of takeovers both from Japanese and foreign companies was producing results from Japanese entities more in line with shareholders' expectations than five years ago. The 57 Japanese companies that had reported financial results as of 8 May produced an average increase in operating profits of 55%, and a pre-tax profit rise of 98%. This growth has helped the Japa...