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Technology Stocks : Softbank Group Corp -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (5095)	5/11/2000 1:46:00 PM
From: Edwin S. Fujinaka	Read Replies (1) \| Respond to of 6018

I just want to see US trading in dollars on Nasdaq. Perhaps we will get the whole panoply of Softbank trading and options trading right here on Nasdaq! Wonder what a LEAP on Softbank might be worth? <G> quote.bloomberg.com Nasdaq Japan Considering Derivatives to Help Trading Volume By Jason Singer Tokyo, May 11 (Bloomberg) -- Nasdaq Japan Inc., which is preparing to open Nasdaq's first overseas market on June 19, is designing derivatives that will help companies sell shares effectively priced lower than the level required by Japanese law. Nasdaq Japan, a joint venture between the operator of the No. 2 U.S. stock exchange and Japan's Softbank Corp., is trying to find a way to avoid problems met by some startups, which have been forced to price their stock as high as 39 million yen ($356,000) per share because of rules set out in Japan's Commercial Codes. ``I think there is a growing awareness that for a mature and vibrant capital market, these kind of inherited restrictions really should be a thing of the past,'' said John Hilley, chairman and chief executive of Nasdaq International. By creating securities that represent a portion of a share -- similar to a depositary receipt -- Nasdaq Japan would be able to help companies attract individual investors to their shares. It would also create a bigger flow of securities being bought and sold, making them easier to trade than shares listed on competing Japanese stock exchanges, Hilley said. Hilley, a former senior adviser to U.S. President Bill Clinton, said he's meeting regulators at the Ministry of Finance to discuss the plan. Nasdaq is also lobbying Japanese officials to expedite a reform of the country's Commercial Codes. The laws, which are under review, set a minimum par value per share of 50,000 yen and link the number of outstanding shares to the amount of paid-in capital. Splitting shares, for example, would require doubling paid-in capital. Startups are particularly hamstrung by this because they typically don't have extra cash. Liquidity Yahoo Japan Corp. has the world's most expensive shares. The stock -- traded on the Jasdaq market, a competitor to Nasdaq Japan along with the Tokyo Stock Exchange's ``Mothers'' board -- was recently trading at 39 million yen per share and had 58,000 shares outstanding. So far this month, and average of 40 shares traded per day. Crayfish Co., which went public on the Mothers market on March 10, has 10,000 shares traded at around 6 million yen per share. So far today one share traded. On Monday, four shares changed hands; on Tuesday only two traded. ``There are many creative financial instruments that we're pursuing with some of the key investment banks here in Tokyo,'' Hilley said. ``Some synthetic products that actually mirror the performance of the underlying shares but have the liquidity needed for retail trading'' are being developed, he said. ``It will take a while, but we are fully engaged on this issue.'' The form of the ``synthetic'' securities may also be similar to Nasdaq-100 shares, units in a trust that track the collective performance of all companies in the Nasdaq 100 Index. Those securities are commonly known by their ``QQQ'' trading symbol. Nasdaq Japan has said eight firms have applied to go public on the new market, which will initially be operated by the Osaka Securities Exchange. Nasdaq Japan said it received applications from XNET Corp., Creek & River Co. Ltd., Sugi Pharmacy Co., Digital Design Co. Ltd. -- all privately held companies. The new exchange said Digicube Co. Ltd., Don Quijote Co. Ltd., Honda Verno Tokai Co. Ltd. and Masternet Co. Ltd., which have shares traded on other Japanese stock markets, also applied. Morningstar Japan K.K. applied to join the market for a trading start of June 23, Nasdaq Japan said.