Market News

Feb. 04, 2025 TSE Publication of “The Investor’s Perspective on Such Matters as Parent-Subsidiary Listings”

Tokyo Stock Exchange, Inc. (TSE) has been asking listed companies in parent-subsidiary relationships and those in relationships under the equity method to develop initiatives and make disclosures on group management and the protection of minority shareholders.

Recently, there has been a growing interest in the nature of parent-subsidiary listings in terms of appropriate allocation of management resources to achieve medium- to long-term improvements in corporate value, as required by TSE's request to take “Action to Implement Management that Is Conscious of Cost of Capital and Stock Price.” Meanwhile, investors have pointed out that current initiatives and disclosures of listed companies are not aligned with the investor’s perspective.

In light of these circumstances, TSE has published “The Investor's Perspective on Such Matters as Parent-Subsidiary Listings” based on feedback received from interviews with many investors in Japan and overseas.

TSE hopes that this document, which contains the investor’s perspective and examples of specific situations where companies’ initiatives are not aligned with it, will help companies to consider their group management and protection of minority shareholders and to engage in dialogue with investors.