Japan Specialist

Mark Chadwick

Over 20 years experience in equities and asset management in Asia and Japan. Qualified CFA with experience analyzing companies as a buy-side analyst. In-depth knowledge of company fundamental analysis, corporate governance and valuations.

Activist Pressure FINALLY Works on Fujitec (6406)- Going Up? (Albeit Slowly)

Fujitec (6406) Activism Levelling Up - A Board Spill to Come?

Fujitec EGM Coming 24 Feb - It's a Close-Run Thing

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Corporate governance is hard, messy and often frustrating for everyone. Those frustrations boiled over for shareholders in <a href="https://www.smartkarma.com/entities/fujitec-co-ltd" target="_blank" data-smartkarma-citation="entities:11686:1" rel="noopener">Fujitec Co Ltd (6406 JP)</a> , with two outspoken activist investors going public with their grievances in May this year, ahead of the AGM.  
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At the AGM, Oasis secured 33% of the votes in favour of its proposals for cancelling the Company’s treasury shares. If it hadn't been for the Coronavirus, the proposals would have been far more intrusive. In the end, there was a dramatic decrease in support for Fujitec’s CEO, Uchiyama-san. If the low level of support for management was a gentle wake-up call, Oasis’ June statement was a ringing alarm clock.   
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Oasis will continue its active engagement with the Company and, failing any material change to the situation, will consider a wide variety of options, including calling an EGM later this year, in order to bring about a change of leadership at the Company to ensure that progress is made to improve Fujitec’s corporate value for the medium and long-term, to the benefit of all stakeholders (June 2020) 
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 And so here we are today, with grudging consent, Uchiyama-san has <a href="https://www.fujitec.com/common/fjhp/doc/top_global/document/irnews/2139/20201204_Fujitec%20Co.,%20Ltd.%20Announces%20Future%20Strategic%20Direction%20Plan.pdf" target="_blank" rel="noopener">announced a “new” strategic direction</a>. It’s a step in the right direction, but will it be enough to silence the critics?  
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Corporate governance is hard, messy and often frustrating for everyone. Those frustrations boiled over for shareholders in Fujitec Co Ltd (6406 JP) , with two outspoken activist investors going public with their grievances in May this year, ahead of the AGM.  


At the AGM, Oasis secured 33% of the votes in favour of its proposals for cancelling the Company’s treasury shares. If it hadn't been for the Coronavirus, the proposals would have been far more intrusive. In the end, there was a dramatic decrease in support for Fujitec’s CEO, Uchiyama-san. If the low level of support for management was a gentle wake-up call, Oasis’ June statement was a ringing alarm clock.   



Oasis will continue its active engagement with the Company and, failing any material change to the situation, will consider a wide variety of options, including calling an EGM later this year, in order to bring about a change of leadership at the Company to ensure that progress is made to improve Fujitec’s corporate value for the medium and long-term, to the benefit of all stakeholders (June 2020) 



 And so here we are today, with grudging consent, Uchiyama-san has announced a “new” strategic direction. It’s a step in the right direction, but will it be enough to silence the critics?  


Fujitec (6406) - Governance Is Messy – but that Doesn’t Mean It Isn’t Working