Advertising giant Dentsu Inc., one of the world's largest private companies, will go public in 2001 with a listing of shares on the first section of the Tokyo Stock Exchange, the company said Jan. 5. The decision to go public was made during an extraordinary board meeting. The company would not release information about the size or the exact date of the listing.
The move will come when Dentsu celebrates its 100th anniversary in 2001. The company is expected to use the fresh funds from the listing to help pay off its new Tokyo bayfront headquarters, which is scheduled for completion in 2002.
Dentsu President Yutaka Narita said the listing was intended to ensure Dentsu could raise sufficient capital to meet the challenges of the digital age and increased globalization. The listing would help the company avoid borrowing from banks and will also help capital fund raising, Mr. Narita said during a New Year's address to employees.
Copyright January 1998, Crain Communications Inc.
