Shareholders Turning on Managers

[Mulboyne]

After the Livedoor takeover attempt, there were widespread fears that Japan managements would put in place stringent defences. Some are getting through but the news for corporate governance in Japan is getting more positive however. The courts struck down Nireco's anti-takeover rules and, today has seen shareholders reject similar measures by two major companies:

Yokogawa Electric Corp., the world's biggest maker of electronic measuring instruments, said shareholders rejected a plan to increase the limit on share sales to defend itself against hostile takeovers.
Tokyo Electron Ltd., the world's second-largest supplier of semiconductor-making equipment, said shareholders voted down a plan to increase the limit on share sales to fend off unwanted takeovers.

Then again, it isn't certain that society back shareholders all the way...
Kyodo: Poll finds Japanese divided over who owns a company

A poll has found 31.6 percent of respondents view shareholders as owners of companies, while 25.2 percent interpret employees as their owners, indicating Japanese people are divided over the recently debated question in the nation of who owns a company, Yahoo Japan Corp. said Wednesday. "A smaller-than-expected number of people think companies are mere instruments for shareholders to make money, and more people seem to believe companies are more complex and people who work there should be given importance too,"

[Mulboyne]

A poison pill is activated...

Reuters via Yahoo: Japan Engineering shares shoot up in takeover row
TOKYO, July 19 (Reuters) - Shares in Japan Engineering Consultants Co. jumped more than 10 percent on Tuesday after the small construction consulting company said it would conduct a 5-for-1 share split to counter a $17.2 million hostile bid by Yumeshin Holdings .
Hostile takeovers are still unusual in Japan, and the battle has drawn attention as it is the country's first hostile move against a listed company already armed with a "poison pill" defence. This is also the country's first case to employ a share split as a takeover defence tactic...The rush to bolster takeover defences has raised concerns among investors who think the tactics can easily be abused, harming shareholders' interests.