Japan's Cosmo Energy to Introduce Poison Pill


Tokyo, Jan. 12 (Jiji Press)--Japan's Cosmo Energy Holdings Co. <5021> has announced a plan to introduce a poison pill in response to continued share buying by an investment fund linked to activist investor Yoshiaki Murakami.

The fund, City Index Eleventh Co., and its partners together hold an equity stake of 19.96 pct in Cosmo Energy, according to the announcement by the oil and energy company Wednesday.

If City Index's team raises its stake to 20 pct or more without providing information on the reason for the action, Cosmo Energy will allow all other shareholders to acquire new shares by giving them equity warrants, in order to lower the team's stake.

City Index's team emerged as an effective top shareholder of Cosmo Energy last April.

According to Cosmo Energy, City Index denied an intent to raise the stake to 20 pct or more, but the team continued to buy Cosmo Energy shares.

[Copyright The Jiji Press, Ltd.]

Jiji Press