Asset Value Submits Shareholder Proposals to SK Kaken Co
May 20, 2021 at 05:09 am EDT
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On May 20, 2021, Asset Value Investors (AVI) announced that it has submitted shareholder proposals to SK Kaken Co., Ltd. to address factors contributing to the Company’s poor share price performance and low valuation. Asset Value calls attention to the Company’s stubborn resistance to even the most reasonable proposals. 1) A 10-for-1 stock split to reduce the prohibitively high minimum trading lot from approximately ¥4,000,000 to ¥400,000, which will create greater liquidity and open the Company to investment by retail investors, who are now effectively excluded. 2) Cancel 90% of its treasury shares, the Company holds 14% of outstanding shares in treasury and these shares have no business purpose such as M&A or executive incentive stock plan, the Company has no M&A plans or a stock-based compensation scheme and serve only to depress the share price.
SK KAKEN CO.,LTD. is a Japan-based company principally engaged in the manufacture and sale of architectural finishing coating materials and fireproof insulation materials. The Company operates in two business segments. Building Finish Coating segment is involved in the production of organic inorganic water-based coatings, synthetic resin paints, inorganic paints, inorganic building materials, as well as the conduct of special finishing work on buildings. Refractory Insulation segment is involved in the production of insulation materials, refractory coatings, refractory paints, as well as the conduct of refractory insulation work. The Company is also involved in the manufacture and sale of detergents and diluents.
SK KAKEN CO.,LTD. 
