Japanese Media Firms Worried over Tokyo Kikai Share Buying

Economy

Tokyo, Sept. 11 (Jiji Press)--Forty Japanese media companies have expressed concerns over additional buying of shares in newspaper printing machine maker Tokyo Kikai Seisakusho Ltd. <6335> by an investment firm affiliated with a Hong Kong-based financial company.

Tokyo Kikai, listed on the first section of the Tokyo Stock Exchange, said Friday that it has received a letter from the 40 firms showing concerns over the share purchases by Asia Development Capital Co. <9318>. The 40 firms include national and local newspaper publishers, and news agencies.

A change in Tokyo Kikai’s system of developing and manufacturing newspaper printing machines would deal a fatal blow to newspaper publishers’ production activities, the letter said, asking Tokyo Kikai to make efforts to ensure that there will be no problem with its medium- to long-term printing machine production and renewal plans.

In response to the letter, Tokyo Kikai said that about 180 printing machines made by the company are in operation across Japan to support newspaper production every day, adding that the firm intends to act over the share buying with a strong sense of crisis.

Tokyo Kikai said the same day that shares of the company have been bought massively in a dubious way since mid-March and that it has requested entities including the Securities and Exchange Surveillance Commission to investigate the matter.

[Copyright The Jiji Press, Ltd.]

Jiji Press