Japan Stocks: Elpida, Mitsui Engineering, Nomura, Park24, Sony

Japan’s Nikkei 225 (NKY) Stock Average fell 78.77, or 0.9 percent, to 8,463.16 at the 3 p.m. close in Tokyo. The following were among the most active shares in the Japanese market today. Stock symbols are in parentheses after company names.

MSCI Reshuffle: MSCI Inc. will remove Mitsui Engineering & Shipbuilding Co. (7003 JT), a ship-engine manufacturer, and ball-bearing maker Minebea Co. (6479 JT) from its MSCI Japan index, while it will add Sanrio Co. (8136 JT), the maker of Hello Kitty, to the benchmark. The changes will be effective as of the Nov. 30 close, the MSCI said on its website.

Mitsui Engineering declined 3.4 percent to 114 yen. Minebea slid 2 percent to 298 yen. Sanrio fell 0.7 percent to 4,060 yen after rising as much as 2.4 percent earlier today.

Dwango Co. (3715 JT), a mobile-content provider, soared 9.4 percent to 131,100 yen. The company said it will buy back up to 6.37 percent of its outstanding shares for as much as 1.9 billion yen ($25 million).

Elpida Memory Inc. (6665) (6665 JT), Japan’s biggest memory-chip maker, rallied 8.8 percent to 359 yen after MSCI Inc. kept the company listed on its index. Shares plunged 9.1 percent yesterday on speculation the company would be removed in today’s reshuffle. The stock also rose after the Nikkei newspaper quoted executive Yasushi Takahashi as saying the chipmaker may reduce production to halt a decline in the price of dynamic random- access memory. The company confirmed the comments.

Nippon Denko Co. (5563 JT), a ferroalloy maker, sank 6.3 percent to 329 yen, its lowest since April 2009. Credit Suisse Group AG lowered its equity rating to “neutral” from “outperform,” saying earnings will likely remain sluggish until the first quarter of the next fiscal year amid a slumping overseas market.

Nisshin Steel Co. (5407 JT) climbed 2.8 percent to 111 yen, while Nippon Metal Industry Co. (5479 JT) fell 2.7 percent to 71 yen after rising as much as 5.5 percent earlier today. The steelmakers will start talks on a merger with a view to completing a tie-up by Oct. 1, according to a statement from the two companies.

Nomura Holdings Inc. (8604) (8604 JT), Japan’s biggest brokerage, lost 4.4 percent to 242 yen, the lowest since at least September 1974. Ji Asia, the Asian equity research and sales arm of Japaninvest Group Plc, lowered the investment rating on Nomura to “neutral” from “buy,” saying that Nomura will unlikely recover the earnings in the short run because of more-than- expected deterioration in the market conditions.

Olympus Corp. (7733) (7733 JT) surged 16 percent to 740 yen percent, rising by its daily limit for a third day on a Nov. 13 report that the scandal-hit optics maker may avoid delisting at the Tokyo Stock Exchange.

Park24 Co. (4666 JT), a parking-lot operator, gained 3.3 percent to 909 yen. The company reported net income of 6.5 billion yen in the fiscal year ended Oct. 31, beating its 5.2 billion yen outlook by about 25 percent, according to a preliminary earnings statement.

Seven Bank Ltd. (8410) (8410 JQ), which provides banking mainly through automated teller machines, increased 2.8 percent to 149,100 yen. The company said it will conduct a 1,000-for-1 stock split, adopting the minimum trading of 100 shares.

Sony Corp. (6758) (6758 JT), an electronics maker, dropped 3.3 percent to 1,308 yen, the lowest since May 1987, after saying it has no timeframe for restarting its halted image sensor plant in Thailand. Shoji Nemoto, head of Sony’s camera division, spoke at an event in Chiba prefecture, near Tokyo, today.

Suruga Bank Ltd. (8358) (8358 JT), a regional lender, rose 2.7 percent to 698 yen. The lender said net income rose by a quarter to 7.9 billion yen in the six months ended Sept. 30, citing lower credit costs.

Teijin Ltd. (3401) (3401 JT), a fiber maker, slipped 3 percent to 225 yen, the lowest since April 2009. Citigroup Global Markets Japan Inc. cut its investment rating on the stock to “sell” from “neutral.”

Tella Inc. (2191) (2191 JQ), a cancer-treatment provider to medical institutions, jumped 9.2 percent to 438 yen. The company said it will raise 297.7 million yen from sale of new shares to Asahi Kasei Corp. (3407) (3407 JT), allowing the chemical maker to become Tella’s second-biggest shareholder. Asahi Kasei fell 1.5 percent to 448 yen.

-- Editor: Nick Gentle

To contact the reporter on this story: Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net

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

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