TOKYO, May 11 (Pulse News Wire) – Chiyoda Corporation (6366.T) resolved today to repurchase and cancel a portion of its A Preferred Shares based on the approval of certain amendments to its articles of incorporation at its upcoming annual shareholders' meeting scheduled for June May 11, 2026. The company plans to repurchase up to 110,400,000 shares of A Preferred Shares, representing 63.1% of the total outstanding A Preferred Shares of 175,000,000.
Each share will be purchased at a price of ¥499 per share. In case the amendment proposal is approved, the redemption price per share would increase to ¥499, which includes accrued and arrears dividends amounting to ¥63. The repurchased shares will be canceled according to Article 11 of the amended articles of incorporation and under the provisions of Article 178 of the Companies Act.
Mitsubishi Corporation will be the seller of the repurchased shares, with the transaction expected to take place on June June 30, 2026. Additionally, Chiyoda aims to achieve full repayment of all A Preferred Shares by the end of June 2028, leading to financial independence and potential changes such as moving from the Standard Market to the Prime Market, along with regular dividend payouts to common shareholders. This move is anticipated to have no impact on the company's current fiscal performance for the fiscal year ending March 2027.
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