Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

Parent-Subsidiary Listing Strategy Expected to Be Even More Attractive

MBOs Would Open the Door to Investment for Companies that Weren’t Invested for Fear Of "Value Trap"

Still Many "Parent-Subsidiary Listings" Keep to Provide Investment Opportunities for Inefficiencies

Independence of BOD Is Necessary, but Can Independence of Subordinate Companies Really Be Ensured?

When Will Fiduciary Duty Take Root in Japan?

Next Corporate Governance Code Revision May Further Dissolve Parent-Subsidiary Listings

Overseas Investor Engagement Plays a Significant Role in Substantive Governance Enhancements

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>Cash generation through the subsidiaries’ IPOs will only buy time, and investors are likely to focus on when Rakuten will move to solve the problems in its cell phone business.</li>
<li>In recent years, TSE's market reorganization has focused attention on parent-subsidiary listings, and there've been moves to convert listed subsidiaries into wholly owned subsidiaries or sell subsidiaries to other companies.</li>
<li>For Rakuten, subsidiary IPOs are an essential means of raising cash, but TSE's recognition of the governance issues involved in parent-subsidiary listings raises questions about Rakuten's two parent-subsidiary listings.</li>
</ul>


Cash generation through the subsidiaries’ IPOs will only buy time, and investors are likely to focus on when Rakuten will move to solve the problems in its cell phone business.
In recent years, TSE's market reorganization has focused attention on parent-subsidiary listings, and there've been moves to convert listed subsidiaries into wholly owned subsidiaries or sell subsidiaries to other companies.
For Rakuten, subsidiary IPOs are an essential means of raising cash, but TSE's recognition of the governance issues involved in parent-subsidiary listings raises questions about Rakuten's two parent-subsidiary listings.


2 Rakuten Subsidiaries' Listings Run Counter to the Dissolution of Parent-Subsidiary Listings