Honda Motor (7267.T), opens new tab has priced shares in a secondary share sale at 1,664.5 yen each, or a 3% discount to Wednesday's closing price, valuing the deal at 497 billion yen ($3.16 billion), the automaker said.
The amount includes an overallotment triggered depending on demand. Those selling - insurers and financial firms including Tokyo Marine (8766.T), opens new tab, Sompo and Mitsubishi UFJ (8306.T), opens new tab - aim to sell as many as 300 million Honda shares. Reuters first reported the insurers' plan earlier this month.
Cross-shareholding, or companies holding shares in each other, was long seen as a way to reinforce business ties in Japan. Governance experts and foreign investors said the practice protects management from shareholders.
