Acquisition plan of a cryptocurrency firm “troubled” Tokyo Stock Exchange  20904
News
Ashmita Dutta
Aug 13, 2018 at 8:00 PM

Tokyo Stock Exchange, the largest in Asia is recently "troubled" by the acquisition plans of cryptocurrency firm based in Hong Kong. The latter seeks to acquire a company named Beat Holdings enlisted on the stock exchange. Tokyo Stock Exchange [TSE] greets foreign based companies to enter the prevalent market in Japan, however, it has always been apprehensive towards cryptocurrency firms.

The Media Report

Nikkei Asian Review has reported on 12th August that the entire episode of the acquisition is a concerning factor for the exchange as well. With this acquisition, the Hong Kong based company, namely,  Noah Ark Technologies seeks to launch an ICO and crypto exchanges in Japan.

As per sources report, in June, 2018 Noah Ark made a proposal to Beat Holding to alter its name while including "Noah coin'', its own cryptocurrency in the new one. The former could propose this alteration on the ground that it is already a shareholder of Beat Holding.

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The current market capitalisation of Beat Holdings is marked at 7.3 billion yen. The company is placed in the second section of medium sized enterprises on the largest stock exchange of Asia. However, apart from the previous proposal, Beat has been subjected to the proposal of issuing new shares and opening its acquisition rights. This would enable Noah Ark to attain voting rights of nearly 50% in the former.

Reports suggest that the plan of Noah Ark is launching crypto exchanges in nations like ‘Japan, the U.S., China and some European markets, as well as secure about $1 billion’. The Hong Kong based company wants to achieve it by organising ICO event for releasing its 'Noah Coin'.

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In this entire acquisition procedure, TSE can neither intervene to prevent it nor can play any significant role. In an interview with Nikkei Asian Review, an official of the exchange has expressed that it is "troubled, to be honest" by the entire episode. Moreover, the exchange deliberately avoids the domain of cryptocurrency due to lack of protection provided to the investors.  The media report suggests that Noah Ark is not yet a recognised operator of cryptocurrency exchange in Japan. Currently, Noah is the biggest shareholder of Beat Holdings having a stake of 15%.

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