Toyota Motor Corporation TM reportedly plans to divest its entire stake in Harmonic Drive Systems, Inc. HSYDF through open market sales overseas as part of its broader strategy to streamline its holdings in affiliates and partners.
Toyota will sell 4.38 million Harmonic Drive Systems shares, valued at approximately 18.1 billion yen ($123 million) based on Wednesday's closing price of 4,135 yen per share, reported Reuters.
This move comes on the heels of Toyota's recent decision to divest a stake in Denso, a pivotal member of the Toyota group. In July, Toyota also revealed plans to offload some of its holdings in telecom giant KDDI as part of its strategy to accelerate electrification efforts.
Harmonic Drive Systems will buy back up to 700,000 shares to cushion the sale's impact on shareholders, as per the report.
Price Action: TM shares are trading higher by 1.87% at $191.50 on the last check Wednesday.
Disclaimer: This content was partially produced with the help of AI tools and was Reviewed And Published By Benzinga Editors.
Photo Via Company
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
