LAST MONTH the Japanese government started the process of floating a further tranche of shares in East Japan Railway. Despite two previous flotations, the government remained the largest shareholder with a 37·6% stake.
At the beginning of July the government confirmed stock market rumours that it was to sell another million of its shares, which are held through the Japan Railway Public Construction Corp. Nomura Securities and Morgan Stanley were appointed to co-ordinate a global offering for both domestic and international investors. The price of the offering was to be determined by market soundings on July 23-28, but based on the price at July 2 the stake was valued at ´698bn.
