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Business trends

Japan Inc ditches takeover defenses amid shareholder criticism

Number of companies with safeguards against hostile bids down 40% from 2008

Many investors in Japanese companies see takeover defenses as a means to protect management.   © Reuters

TOKYO -- More listed Japanese companies are scaling back takeover defenses in response to mounting criticism from investors, who view the measures as protecting management.

As of May 21, 342 Japanese companies had anti-takeover measures in place, 44 fewer than at the end of 2018 and a 40% drop from the peak in 2008, according to Recof, a Tokyo-based advisory company.

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