Friday, July 18, 2025
  • Login
Forbes 40under40
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle
No Result
View All Result
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle
No Result
View All Result
Forbes 40under40
No Result
View All Result
Home Technology

Nissan surges most since 2009 after activist Effissimo takes 2.5% stake

by Riah Marton
in Technology
Nissan surges most since 2009 after activist Effissimo takes 2.5% stake
Share on FacebookShare on Twitter


NISSAN Motor shares jumped the most in 15 years after an activist investor took a 2.5 per cent stake in the embattled Japanese automaker.

Suntera (Cayman), a trustee of ECM Master Fund, was identified as the buyer of the stake in a filing by Nissan. ECM Master Fund was cited in past regulatory filings as being managed by Effissimo Capital Management, a Singapore-based hedge fund that buys into distressed companies.

Effissimo controls the stake, a person with knowledge of the matter said. The fund is best known for taking on Japan’s Toshiba in a landmark moment for corporate accountability in Japan. The conglomerate’s chief executive officer resigned in 2021 after the fund accused company of infringing on shareholders, and Toshiba accepted a buyout offer two years later.

The activist investors’ involvement in Nissan fuelled a rally in the carmaker’s shares amid speculation it may embark on structural reforms to fix its ailing business, said Ikuo Mitsui, a fund manager at Aizawa Securities. The stock had plunged since last week after the troubled carmaker announced plans to slash jobs and cut a fifth of its production capacity.

Nissan said in a statement that the company is “continuously engaging with institutional investors and analysts from securities companies,” while adding that it’s not in a position to identify whether the stake acquisition was indeed made by Effissimo.

Representatives for Effissimo did not respond to an email seeking comment.

BT in your inbox

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Effissimo has held shares in another company called Nissan Shatai, which runs Nissan’s manufacturing operations, since at least 2007. The fund is Nissan Shatai’s second-largest shareholder, according to a September filing.

Effissimo has also bought into UACJ and Sanken Electric, and owns stakes in companies including Dai-ichi Life Holdings and Fudo Tetra.

Activist campaigns aimed at shaking up a company’s operations and increasing shareholder value have become increasingly common in Japan over the past decade. Elliott Investment Management built sizable stakes in Sumitomo and SoftBank Group, while Oasis Capital earlier this year called for a governance overhaul at Japanese drugstore chain Ain Holdings Inc.

Effissimo was founded by disciples of Yoshiaki Murakami, the father of activist investing in Japan. The fund became Toshiba’s top shareholder in 2017 when the company was reeling from a massive writedown on its nuclear power business. Toshiba later split into three separate companies as part of efforts to improve shareholder value.

Nissan’s shares climbed as much as 21 per cent on Tuesday (Nov 12) before closing up 13 per cent. The company’s short interest stood at 21 per cent of its free float as of Friday, making it the third-most shorted stock on the Nikkei 225 Stock Average, according to data from S&P Global.

Nissan said last week that it now sees its operating income plunging to just 150 billion yen (S$1.3 billion) in the fiscal year ending in March, down 70 per cent from its previous forecast. The management also lowered its revenue outlook by more than 9 per cent, meaning it now expects virtually no growth for the year.

Chief executive officer Makoto Uchida told investors that Nissan has been affected “not only by external challenges, but also by our specific issues,” alluding both to the breakneck rise of Chinese automakers and Nissan setting overly ambitious sales targets.

Nissan is now expecting to produce about 3.2 million vehicles in the year ending in March, almost 7 per cent fewer than the last fiscal year. The company also lowered its retail sales outlook to 3.4 million vehicles, paring forecasts for each of its major markets: North America, China, Japan and Europe. BLOOMBERG

Tags: ActivistEffissimoNissanStakeSurgesTakes
Riah Marton

Riah Marton

I'm Riah Marton, a dynamic journalist for Forbes40under40. I specialize in profiling emerging leaders and innovators, bringing their stories to life with compelling storytelling and keen analysis. I am dedicated to spotlighting tomorrow's influential figures.

Next Post
Keppel Reit prices A million floating rate green notes due 2027

Keppel Reit prices A$50 million floating rate green notes due 2027

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Forbes 40under40 stands as a distinguished platform revered for its commitment to honoring and applauding the remarkable achievements of exceptional individuals who have yet to reach the age of 40. This esteemed initiative serves as a beacon of inspiration, spotlighting trailblazers across various industries and domains, showcasing their innovation, leadership, and impact on a global scale.

 
 
 
 

NEWS

  • Forbes Magazine
  • Technology
  • Innovation
  • Money
  • Leadership
  • Real Estate
  • Lifestyle
Instagram Facebook Youtube

© 2024 Forbes 40under40. All Rights Reserved.

  • About Us
  • Advertise
  • Contact Us
No Result
View All Result
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle

© 2024 Forbes 40under40. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In