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Japan Stocks: Gunze, KDDI, Kirin, Laox, Mitsubishi Motors, Towa

By Akiko Ikeda and Norie Kuboyama

June 18 (Bloomberg) -- Japan’s Nikkei 225 Stock Average fell 137.13, or 1.4 percent, to 9,703.72 as of the close in Tokyo. The following were among the most active shares in the Japanese market today. Stock symbols are in parentheses after company names.

Calsonic Kansei Corp. (7248 JT) slumped 4.8 percent to 177 yen. The largest parts supplier for Nissan Motor Co. (7201 JT) will probably report a group operating loss of about 10 billion yen ($104 million) for the April-to-June quarter, largely because of shrinking demand for car air-conditioning systems as Nissan cuts production, Nikkei English News said. Nissan fell 3.3 percent to 560 yen.

DA Office Investment Corp. (8976 JT) soared 17 percent to 266,000 yen, the highest since Oct. 3. Daiwa Securities Group Inc. (8601 JT), Japan’s second-largest brokerage, will invest 10 billion yen in the real estate investment trust, according to a filing with Japan’s Finance Ministry. Daiwa plans to acquire a stake in the REIT through a private placement of shares on July 1, the company said in a statement. The brokerage will also acquire all shares in the company that manages the DaVinci Select KK REIT from DaVinci Holdings KK (4314 JX), the statement said. Daiwa fell 1.4 percent to 641 yen. DaVinci plunged 14 percent to 18,700 yen.

Fujikura Ltd. (5803 JT) added 1.8 percent to 463 yen. The electric cable maker was lifted to “buy” from “neutral” by Merrill Lynch & Co. analyst Takashi Enomoto.

Gunze Ltd. (3002 JT) gained 5.1 percent to 392 yen, the highest since Sept. 30. The textile maker will receive a low- interest subsidized loan from the state-owned Development Bank of Japan on June 19 because of the company’s environmental projects and works. The bank said on its Web site that Gunze qualified for the loan because of facilities that cut nitrogen oxide emissions and disclosure of information by the company on its environmental impact. The lender did not give the size of the loan.

Japan Asia Group Ltd. (3751 JT) tumbled by the daily limit of 16 percent to 10,900 yen. The developer of automated telemarketing systems said it will delay its earnings announcement to June 24. It originally planned to release results on June 19.

KDDI Corp. (9433 JT) rose 3.1 percent to 500,000 yen. Japan’s second-biggest mobile-phone operator may increase its dividend payout this fiscal year if the company achieves its profit target, Senior Vice President Hirofumi Morozumi, said at the company’s annual shareholder meeting in Tokyo today.

Kawashima Selkon Textiles Co. (3009 JT) climbed 7.3 percent to 103 yen. The textile maker will form a venture with Toyota Boshoku Corp. (3116 JT) and Toyota Tsusho Corp. (8015 JT) to make fabrics for machinery interior parts, the companies made the announcement in a press release today. Toyota Boshoku fell 1.6 percent to 1,388 yen. Toyota Tsusho slid 2.3 percent to 1,381 yen.

Kinki Nippon Tourist Co. (9726 JT) dropped 2.8 percent to 104 yen. The travel agency reversed its forecast for the year ending Dec. 31 to a net loss of 5 billion yen from 100 million yen profit, as domestic and overseas travel demand decreased due to swine flu concerns. It had a 3.74 billion yen loss a year ago.

Kirin Holdings Co. (2503 JT) gained 4.2 percent to 1,318 yen, the highest since Oct. 6. Japan’s largest beverage producer said its unit has developed a way to detect blemishes and contaminants of 0.1 millimeter in diameter, which could help carmakers and autoparts makers increase output efficiency by 1.2-fold, Kirin spokeswoman Ayako Okaami said.

Laox Co. (8202 JT) surged by the daily limit of 83 percent to 66 yen, its biggest advance since December 1999. China’s Suning Appliance Co. (002024 CH) is in talks with the electronics retailer about taking a stake of about 30 percent, Nikkei English News said, without citing anyone.

Matsuya Co. (7452 JQ) soared by its upper limit of 18 percent to 660 yen, its biggest gain since its listing of July 1995. The supermarket operator plans to spend as much as 250 million yen to buy back as much as 5.6 percent of its outstanding shares by the end of its next shareholders’ meeting.

Mitsubishi Motors Corp. (7211 JT) advanced 3.3 percent to 187 yen, the highest since July 24. The automaker plans to develop an electric vehicle priced at 3 million yen by 2012, Nikkei English News said. Meidensha Corp. (6508 JT), which supplies parts for Mitsubishi Motors’s electric cars, climbed 6.2 percent to 613 yen, the highest since July 1997.

Sekisui House Ltd. (1928 JT) dropped 2.6 percent to 957 yen. Credit Suisse Group analyst Yoji Otani cut the homebuilder to “neutral” from “outperform.”

Shizuki Electric Co. (6994 JT) climbed 5.7 percent to 370 yen, the highest since Aug. 21. The capacitor maker will start supplying condensers for solar power generation device, the Nikkan Kogyo newspaper said. The company aims to boost its sales at a U.S. unit by 44 percent to 2.6 billion yen by fiscal 2013 from the sales estimated for this fiscal year, according to the report.

Towa Corp. (6315 JO) climbed 7.5 percent to 617 yen, the highest since Sept. 10. The maker of semiconductor manufacturing equipment will start producing manufacturing equipment for autoparts, the Nikkei newspaper reported. The company signed a contract to supply about 20 sealing machines to Robert Bosch GmbH (RBOS GR) in five years, according the report.

Uchida Yoko Co. (8057 JT) fell 2.7 percent to 294 yen. The wholesaler of office furniture said it’s under investigation by Japan’s Fair Trade Commission on suspicion of bid-rigging. Itoki Corp. (7972 JT) and Okamura Corp. (7994 JT) also fell after public broadcaster NHK reported they are being investigated by Japan’s Fair Trade Commission on suspicion that they rigged bids, citing an unidentified person familiar with the matter. Itoki fell 3.6 percent to 267 yen. Okamura slumped 2.3 percent to 512 yen.

To contact the reporters on this story: Akiko Ikeda in Tokyo at iakiko@bloomberg.net; Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net.

Last Updated: June 18, 2009 03:05 EDT

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