1. Home
  2. News Releases
  3. Back Issues
  4. January FY2019
  5. METI Generates Report on Ideal Approaches that Small- and Mid-Cap Companies should Take in their Information Disclosure and Dialogues with Investors

METI Generates Report on Ideal Approaches that Small- and Mid-Cap Companies should Take in their Information Disclosure and Dialogues with Investors

Promoting information disclosure and dialogues tailored to the diversity of companies

January 10, 2019

The Ministry of Economy, Trade and Industry (METI) has advanced discussions under the Forum for Integrated Corporate Disclosure and ESG Dialogue in order to provide an opportunity for companies and investors to have dialogues by making use of the Guidance for Collaborative Value Creation*1.

Based on this, METI streamlined discussion results of the forum as a report released in May 2018 and presented future efforts called “Four Actions”*2. To advance one of the actions, i.e., “encourage improvement of quality and efficiency in disclosure and dialogue of small- and mid-cap companies,” in April 2018, METI convened “Kansai Subcommittee,” bringing together representatives of eight small- and mid-cap companies located in Kansai area.

METI hereby formulated and released a report of discussion results of the Kansai Subcommittee.

Notes
*1: The Guidance for Collaborative Value Creation is an abbreviation of the “Guidance for Integrated Corporate Disclosure and Company-Investor Dialogues for Collaborative Value Creation: ESG Integration, Non-financial Information Disclosure and Intangible Assets into Investment,” released on May 29, 2017.
*2: For further details of the Four Actions, see the previous press release below:

1. Background

Prior to the conveyance of the Kansai Subcommittee, the forum pointed out some challenges such as the importance for companies to enhance the quality of information disclosure and dialogues, even for such companies that cannot provide many resources to IR*3. Moreover, the Active Fund Manager Subcommittee, a body under the forum to provide an opportunity for active fund managers to have dialogues, pointed out the importance for small- and mid-cap companies to be committed to information disclosure and dialogues by making use of the guidance.

Against this backdrop, METI considers it important to hold discussions on efforts for encouraging such companies to effectively make use of the guidance and for sharing case examples of leading companies. To this end, in cooperation with participants of the forum, METI launched the Kansai Subcommittee bringing together representatives of Kansai-based companies with only a few employees responsible for IR.

Note
*3: The term “IR” is an acronym for “investors relations” and refers to general activities that companies take to convey corporate information to investors.

2. Points of contention

The Kansai Subcommittee held discussions on the following issues as points of contention:

3. Outline of the report

Based on the discussion results of the Kansai Subcommittee, the report presents the following opinions:

METI expects companies to refer to the report and the details of the discussions of the Kansai Subcommittee, effectively and efficiently disclose information in a manner tailored to their situations, and advance constructive dialogues with investors.

4. Report and other documents

5. References

Division in Charge

Industrial Finance Division, Economic and Industrial Policy Bureau