More on Sony split...Sony sets 2-for-1 share split next May
By Mariko Ando, CBS MarketWatch
Last Update: 4:17 AM ET Dec 27, 1999 NewsWatch
Tokyo (CBS.MW) -- Sony Corp. said Monday that it plans a two-for-one share split next May in a bid to make it easier for individual investors to obtain company's shares.
Sony shares (SNE: news, msgs) will be split on May 19 for shareholders registered as of March 31, 2000, the company said.
U.S.-listed shares of Sony Corp.
Sony's shares have tripled from 8,000 yen at the start of the year. The stock slipped 500 yen to 24,300 on Monday, snapping a winning streak over 10 straight sessions during which it repeatedly set new all-time highs. The share split, Sony's first since November 1991, was announced after the market closed.
"We hope this makes it easier, especially for individuals, to invest in the stock," said Sony spokesman Yushou Shichijo.
The split is also designed to give voting rights to shareholders of Sony Music Entertainment (Japan) Inc.and Sony Chemicals Corp., which are scheduled to be absorbed by Sony on January 5 through an exchange of stock. Sony plans to issue of 32.98 million new shares to complete the moves.
Many shareholders of the two affiliates own only 100 shares, which are worth less than 100 Sony shares. As a result, they are not be able to vote at Sony shareholder meetings; the stock split will rectify this, Sony said in a statement.
Sony's outstanding shares, including those issued on January 5, next year, will total 446,573,196 shares. according to the company. With the split, the number of shares will be increased to 893,146,392. |
