Japan Extends 4-day Rally, Japan Post to Schedule IPO in 2015

Hiruki Nakamura
24 Dec, 2014
New York City

Market indexes in Japan gained and financials and technology developer and exporters led the gainers. Japan Post is planning $5.8 billion public offering in third quarter of 2015.

[R]4:30 PM Tokyo – Market indexes in Japan gained and financials and technology developer and exporters led the gainers. Japan Post is planning $5.8 billion public offering in third quarter of 2015.[/R]

Market indexes in Japan rose following the advances in New York and European markets after the U.S. government revised higher its estimate of economic growth in the third quarter.

Stronger consumption on the sharp decline in oil price drive the U.S. economic growth to 5%, according to the third and final estimate released by the government.

The Nikkei 225 Stock Average climbed 219.09 or 1.2% to 17,635.14 and the broader Topix index increased 12.97 or 0.9% to 1,426.02.

The yen fell 0.2% to 120.37 against one dollar.

Stocks in Review

Japan Post Holdings Co, the Nikkei newspaper reported letters and package delivery service provider plans to go public through initial public offering in September 2015 to raise as much as 700 billion yen or $5.8 billion.

Mitsubishi Heavy Industries Ltd gained 0.6% to 685.80 yen after the diversified manufacturer is looking to spin off its shipbuilding business by mid-2015.

The shipyard constructs liquefied natural gas and liquefied petroleum gas carriers.

The company said both entities are free to tie-ups with other shipbuilder, to turn around its overall earnings after reporting net loss in the first-half of 2014 of 40 billion yen due to a delay in building two large luxury liners for foreign customers.

Ms&Ad Insurance Group Holding Inc rose 0.5% to 2,893.50 yen after the unit of non-life insurer Aioi Nissay Dowa Insurance Co agreed to acquire 75.01% stake in to the U.K.-based telemetric auto insurer Box Innovation Group Ltd. for about 19.67 billion yen or £105 million.

The company plans to expand its business in Europe.

Maruha Nichiro Corp climbed 4.2% to 1,786 yen after the marine product supplier lifted net-income forecast for the year to more than double to 10 billion yen from a year ago period.

Sony Corporation jumped 4% to 2,568.50 yen on speculation that the company may sell its music-publishing business including partnership with Michael Jackson’s estate that owns the Beatles catalog after the latest hacking that forced the cancellation of the U.S. release of the movie “Interview.”