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EDION shares extend losses in afternoon session despite announcing business integration agreement with YAMADA HOLDINGS
EDION Corporation <2730> extended its losses in Friday's afternoon session. Although the firm announced around 11:30 a.m. that it entered a basic agreement on a business integration with YAMADA HOLDINGS CO.,LTD. <9831>, the news met with a muted market response.
The two firms plan to establish a joint holding company via a share transfer on Oct. 1, 2027, under which both will become wholly owned subsidiaries. Details will be negotiated going forward. The combined entity expects to generate net sales of approximately 2.5 trillion yen, driven by efficiency gains and procurement cost reductions leveraging economies of scale. Both firms intend to maintain their existing brands for the time being.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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