Konami considers reducing stock trading unit as investment unit value hits $3,110 – IAG

Japanese gaming giant Konami Group Corporation said Thursday it is considering downsizing its stock trading unit to broaden its investor base.

In a filing with the Tokyo Stock Exchange, the company pointed out that the investment unit of its shares was valued at JPY 500,000 (US$3,110) as of March 31, 2024, in violation of Article 409 of the Tokyo Stock Exchange’s Securities Listing Rules.

Article 409 requires that such investment units be less than JPY 500,000 to ensure that individual investors can invest.

Konami said on Thursday that it “recognizes that reducing the stock trading unit is one of the most effective measures to increase the liquidity of the stock market and encourage participation from a broad investor base.”

Therefore, “the matter will be reviewed as necessary, taking into account relevant factors such as the share price, the development of the stock markets and the liquidity of the company’s shares.”

Konami is a leading developer of console and arcade games, operates fitness clubs throughout Japan, and is also one of the region’s leading developers of slot machines and gaming systems.

The company recently reported profit attributable to owners of JPY 34.9 billion (US$217 million) for the twelve months ended March 31, 2024.