Elliott Management has acquired a 5% stake worth 64.9 billion yen ($422 million) in Tokyo Gas, marking the activist investor’s latest push into Japanese corporations. The U.S. hedge fund began building its position in September, regulatory filings show.
The activist firm is pressing Tokyo Gas to improve business efficiency through potential asset sales, including a review of its real estate portfolio and securities holdings, according to a person familiar with the discussions. Among the assets under scrutiny is the company’s Shinjuku Park Tower property in Tokyo and its data center operations.
The investment extends Elliott’s recent focus on Japanese firms, where it holds positions in Dai Nippon Printing, Mitsui Fudosan, and Sumitomo Corp. The move comes as foreign investors increasingly target Japanese companies, pushing for improved corporate governance and capital efficiency.
Tokyo Gas, a major utility provider in Japan’s capital region, has diversified beyond its core energy business into real estate and data centers. The discussions between Elliott and management signal potential changes in the company’s asset structure and business strategy.
