November 10, 2017 / 6:23 AM / 10 days ago

Nikkei drops amid tech share weakness, Toshiba hit

TOKYO, Nov 10 (Reuters) - Japan’s Nikkei share average fell on Friday, with tech shares hurt after a drop by their U.S. counterparts, while Toshiba Corp stumbled on dilution fears after reports it will issue new shares to raise funds.

The Nikkei ended the day down 0.8 percent at 22,681.42. It still managed to gain 0.6 percent on the week, during which it touched a 26-year high of 23,382.15.

Toshiba Corp, desperate for cash to avoid a possible delisting, lost 5.1 percent after media reports that it was considering raising about 600 billion yen ($5.3 billion) by offering new shares in a third-party allotment.

Tyre maker Bridgestone Corp tumbled 7.7 percent after the company cut its operating profit forecast for the full year ending December to 430 billion yen ($3.79 billion), a 4.3 percent drop on the year.

Chip-related stocks lost ground, with Tokyo Electron Ltd shedding 1.5 percent and Advantest Corp declining 2.3 percent.

Sumco Corp, however, gained as much as 10 percent to a 9-1/2-year high as the high-purity silicon maker revised up its net profit forecast for the year through December 2017 to 24.6 billion yen, a 273.4 percent increase, as silicon wafer prices boom.

Construction company Kumagai Gumi Co dropped 13.7 percent on dilution woes. Kumagai Gumi announced a capital alliance with Sumitomo Forestry Co and will issue 9.1 million new shares as part of the arrangement.

Subaru Corp lost 1.3 percent after the automaker said it plans to recall about 400,000 vehicles in Japan this month after finding it had been following improper procedures for final inspections at domestic plants, expanding the count from a previously estimated 255,000.

The broader Topix shed 0.7 percent to 1,800.44. (Reporting by Ayai Tomisawa and Shinichi Saoshiro; Editing by Eric Meijer)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below