Breaking News

Tweet TWEET

Japan Stocks: DIC, KDDI, Itochu, Nippon Electric Glass, Suncity

Japan’s Nikkei 225 (NKY) Stock Average fell 186.13, or 2.2 percent, to 8,374.13 as of the 3 p.m. close of trading in Tokyo. The following were among the most active shares in the Japanese market today. Stock symbols are in parentheses after company names.

Trading companies: The London Metals Index, which tracks the prices of six primary metals from copper to zinc, lost 3.2 percent on Sept. 23, its sixth consecutive day of declines. Crude oil for November delivery fell as much as 3.1 percent on the New York Mercantile Exchange today.

Mitsubishi Corp. (8058) (8058 JT), Japan’s biggest commodities trader, dropped 7.9 percent to 1,565 yen. Itochu Corp. (8001) (8001 JT), which receives about 35 percent of its revenue from energy, metals and minerals, slumped 7.6 percent to 743 yen. Mitsui & Co. (8031 JT), which gets 30 percent of its revenue from energy, lost 5.9 percent to 1,172 yen.

DIC Corp. (4631) (4631 JT), a producer of printing ink, fell 5 percent to 134 yen, its lowest level since Nov. 2009. The company said it plans to spend 8 billion yen to build a resin plant in Japan’s Ibaraki prefecture.

KDDI Corp. (9433) (9433 JT), the mobile-phone operator, sank 8 percent to 574,000 yen. If KDDI becomes a supplier of the iPhone and decides to match Softbank Corp. (9984)’s (9984 JT) low fee structure, it would be put downward pressure on prices industrywide, Goldman Sachs Group Inc. said in a note dated Sept. 23.

Nippon Electric Glass Co. (5214 JT) dropped 12 percent to 656 yen, its biggest decline since Nov. 2008. The company cut its net-income forecast for the half-year ending Sept. 30 to 24 billion yen, about 14 percent lower than its previous outlook of 26.5 billion yen to 29.5 billion yen, citing a slump in the flat-panel-display market. The company’s share-price estimate was cut at Goldman Sachs Group Inc. to 1,090 yen from 1,160 yen.

Nippon Steel Corp. (5401) (5401 JT) declined 4 percent to 216 yen, its lowest level since 2004. The steelmaker agreed to pay 0.735 of a share for each share of Sumitomo Metal Industries Ltd. (5405) (5405 JT). The Japanese companies aim to merge by Oct. 1, 2012, and the new company will be named Nippon Steel & Sumitomo Metal Corp. Sumitomo Metal Industries lost 4.2 percent to 158 yen.

Softbank Corp. (9984 JT), the sole iPhone seller in Japan, lost 5 percent to 2,167 yen, its lowest since May 2010. The company’s investment rating was lowered to “hold” from “buy” at Deutsche Bank AG, which also cut its share-price target to 3,000 yen from 3,330 yen.

Suncity Co. (8910 JT) was placed under a temporary trading halt for the day today. The real-estate company said it will file for bankruptcy protection. The shares were bid at 1,060 yen today, compared with 1,360 yen on Sept. 22. Fintech Global Inc. (8789) (8789 JT), which said it entered into a contract to sponsor Suncity, surged 19 percent to 3,225 yen.

Tokyo Electric Power Co. (9501 JT) dropped 13 percent to 259 yen. Even if the utility raises electricity prices by 10 percent, it wouldn’t be enough to cover a short-fall in capital after paying damages, the Asahi newspaper reported.

To contact the reporter on this story: Anna Kitanaka in Tokyo at akitanaka@bloomberg.net

To contact the editor responsible for this story: Nick Gentle at ngentle2@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.