TOKYO, May 15 (Pulse News Wire) – Mitsuba Corporation (7280.T) rejected a shareholder proposal aimed at changing dividend policies during its board meeting held today. The proposal was submitted ahead of the scheduled 81st Ordinary General Meeting of Shareholders on June 25, 2026.
The proposal suggested amending the company's articles of incorporation to mandate shareholder approval for dividend decisions. It also proposed increasing the interim dividend for fiscal year 2025 to 1 share for ¥100, including a regular dividend of ¥80 and a special dividend of ¥20 to commemorate the company’s 80th anniversary. The board opposed the changes citing their commitment to stable returns to shareholders while strengthening the company's foundation.
They emphasized that internal reserves should be used effectively for research and development, equipment investment, overseas expansion, and new ventures to ensure long-term growth. The board argued that timely and accurate analysis of financial conditions necessitates quicker decision-making within the executive team rather than through shareholder meetings. In addition, the board stated that the proposed dividend distribution would undermine necessary internal reserves and conflict with the company’s strategy for sustainable value creation.
Therefore, Mitsuba remains committed to its existing dividend policy based on sound judgment and ongoing efforts to enhance shareholder value.
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