World Co. Ltd, Japan: Why Go Private?

內容大綱
Early 2005 saw the first hostile takeover in Japan. Financed by foreign capital, the takeover startled Japan's traditional business establishments who now feared that the threat of hostile takeovers had finally become a reality in Japan. Meanwhile, Japan also went through numerous accounting scandals involving public companies and was seeing dramatic changes in disclosure and corporate-governance rules and regulations in regards to issuers of publicly traded securities and their officers and directors. Concurrently, Mr Hidezo Terai, president of World Co. Ltd, Japan ("World"), a publicly traded apparel company on the Tokyo and Osaka Stock Exchanges, considered returning the company to its private limited status and de-listing it from both the stock exchanges. The company believed doing so would allow them to introduce a management system for quick and flexible responses in the ever-changing fashion business. The market on the other hand suspected that such a move was driven by a need to seek relief from the new disclosure and corporate-governance rules and regulations, and to protect World from possible hostile takeovers
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