TOKYO:
Nippon Telegraph and Telephone Corp plans to conduct a 100-for-1 stock split to
eliminate fractional shares before electronic stock certificates are introduced
next year, a source familiar with the matter said on Saturday.
NTT conducted a 1.02-for-1
stock split in 1995, resulting in a large amount of fractional holdings. The
number of stockholders who still retain only fractional shares exceeds 300,000,
accounting for more than one-fifth of all NTT shareholders.
No one at NTT, which boasts
the biggest number of shareholders in Japan, was immediately available for
comment.
The company seeks to
protect investors holding fractional shares because of fears they could lose all
value once the switch is made to electronic stock certificates in January 2009.
Along with the split, NTT will
raise its minimum trading unit to 100 shares from one now, the source said.
NTT's shares closed at 430,000 yen on Friday.