The head of J-Power, the nation's largest electricity wholesaler, wants to attract long-term investors to replace its biggest stakeholder, hedge fund TCI, which exited after seeking his ouster in a feud over corporate management.
"Investors such as pension funds, which seek stable returns in this time of financial turmoil, may be one of our preferred investors, in addition to individuals, who search for vehicles for long-term investment," said Yoshihiko Nakagaki, president of the Tokyo-based utility officially known as Electric Power Development Co., in Tokyo.
U.K.-based TCI lost a proxy battle against J-Power's board in June after seeking several changes, including a doubling of dividends. The challenge came as global investors, including Calpers, the biggest U.S. pension fund, demanded Japanese companies raise shareholder returns and make decisions more transparent. TCI sold its 9.9 percent share back to J-Power at a $130 million loss in October after the government blocked a bid to double the stake.