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Broccoli, Comics Stocks Soar on Japan Premiership Bid (Update1)

By Norie Kuboyama and Kotaro Tsunetomi

Sept. 2 (Bloomberg) -- Broccoli Co. led gains by comics and related merchandise companies in Tokyo on speculation Taro Aso, a fan of the magazines known as manga in Japan, will become prime minister after Yasuo Fukuda resigned last night.

Broccoli, a maker of cartoon character goods, surged 21 percent to 70 yen at the 3 p.m. close on the Jasdaq exchange. That was the biggest gain since Sept. 12, when Aso was previously favored to lead Japan's government.

Aso, who has often spoken of his fondness for Japanese comics, is the leading contender to succeed Fukuda, 72, who stepped down yesterday. While serving as foreign minister in May 2007, he unveiled an international manga prize open to foreign artists of Japanese-style comics.

The share jump is ``a reflection of the stalemate in the market,'' said Masayuki Otani, a strategist at Securities Japan Inc. in Tokyo. ``Just because Taro Aso may become the prime minister doesn't necessary mean earnings will grow quickly.''

Fukuda asked Aso, a rival for the position last September, to organize an LDP leadership election, which would likely determine the next prime minister. Fukuda resigned after 11 months in office, marked by political gridlock, plunging approval ratings and party disarray.

Mandarake Inc., a comic and animation store chain, was bid at 353,000 yen, poised to gain by its upper daily limit, or 17 percent, from yesterday's close of 303,000 yen on the Tokyo Stock Exchange's Mothers Index. GDH K.K., a cartoon moviemaker, soared by its daily limit, or 13 percent, to 8,800. We've Inc., a maker of animated movies, gained 6.1 percent to 7,950 yen.

Aso Foam Crete Co., a concrete maker with family ties to Taro Aso, climbed by its upper limit, or 30 percent, to 350, rising the most since April 2001.

To contact the reporters on this story: Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net; Kotaro Tsunetomi in Tokyo at ktsunetomi@bloomberg.net

Last Updated: September 2, 2008 03:26 EDT

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