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Japan's TSE to ask companies with subsidiary listings to increase disclosure - Nikkei

Published 12/11/2023, 06:25 PM
Updated 12/11/2023, 06:30 PM
© Reuters. FILE PHOTO: A photographer takes a picture of the blank prices in a stock quotation board at the empty Tokyo Stock Exchange (TSE) after the TSE temporarily suspended all trading due to system problems in Tokyo, Japan October 1, 2020. REUTERS/Issei Kato/Fi
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(Reuters) - The Tokyo Stock Exchange (TSE) will ask listed companies with publicly traded subsidiaries or equity affiliates to increase disclosure about corporate governance, Nikkei Asia reported on Tuesday.

TSE is looking to protect the rights of minority shareholders and enhance the appeal of the overall market through this step, according to Nikkei's report.

© Reuters. FILE PHOTO: A photographer takes a picture of the blank prices in a stock quotation board at the empty Tokyo Stock Exchange (TSE) after the TSE temporarily suspended all trading due to system problems in Tokyo, Japan October 1, 2020. REUTERS/Issei Kato/File photo

The TSE will seek disclosure from more than 1,000 companies, including their listed subsidiaries and affiliates, as early as this month, the report said.

Public companies are urged to describe their efforts to address concerns like parent prioritising profit for the corporate group over the subsidiary in their governance reports to TSE, Nikkei reported.

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