These two photos show a road devastated by the March 11 massive earthquake (left) and the same road after restoration in Naka, Japan. —Photo (File) AP
These two photos show a road devastated by the March 11 massive earthquake (left) and the same road after restoration in Naka, Japan. —Photo (File) AP

TOKYO: The Japanese government said Monday it would sell one third of the shares it owns in Japan Tobacco (JT) to partially finance spending on the recovery from the 2011 quake-tsunami disaster.

The finance ministry will offload up to 333.33 million shares, reducing its holding of the former monopoly from 50 per cent to “just over one third”, a ministry official said.

A sale price will be set between March 11 and 13, the official said, adding that the planned sale is because of the government's efforts to help fund rebuilding after the disaster, which struck on March 11, 2011.

The announcement came shortly after the Tokyo Stock Exchange closed the day's trading on Monday, with JT shares 1.43 per cent higher at 2,901 yen in a rising market.

JT, which controls about two-thirds of the Japanese tobacco market, separately said it would buy back up to 118 million shares for up to 250 billion yen ($2.7 billion) from the market ahead of the planned sale.

The buyback was part of efforts to shield its other shareholders from the effects of a massive release of shares on to the market, the company said.

The finance ministry said if the buyback went ahead, it would consider selling a portion of its holdings direct to the company, reducing its open-market sale accordingly.

The March 2011 tsunami and quake killed nearly 19,000 people and made hundreds of thousands of people homeless. It also sparked a nuclear emergency at Fukushima which experts say will take decades to clean up.

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

The Peca problem
Updated 15 Feb, 2025

The Peca problem

The fight for fundamental freedoms is not the media’s alone, but one that concerns every citizen.
Miners in danger
15 Feb, 2025

Miners in danger

YESTERDAY’S devastating terrorist attack in Harnai, which killed at least 11 coal miners and injured seven others,...
Solar panels scam
15 Feb, 2025

Solar panels scam

THE scam involving over-invoicing to the tune of more than Rs69bn in the import of solar panels raises many ...
Dangerous times
Updated 14 Feb, 2025

Dangerous times

Pakistan accounted for six journalist killings in 2024, of which three were deliberately murdered, according to the CPJ.
Difficult target
14 Feb, 2025

Difficult target

A ONE-two punch delivered by an unforeseen, sharp dip in inflation and an extremely slim base of taxpayers is...
Amazing show
14 Feb, 2025

Amazing show

PAKISTAN’S ability to turn it up at the flick of a switch remains uninhibited. The latest show came in...