Rakuten Group, Inc. (Head Office: Setagaya-ku, Tokyo, Chairman and CEO: Hiroshi Mikitani, hereinafter “the Company”) announces that Rakuten Securities Holdings, Inc. (Head Office: Minato-ku, Tokyo, President: Yuji Kusunoki, hereinafter “Rakuten Securities Holdings”), a consolidated subsidiary of the Company, has agreed to make an additional transfer (hereinafter the "Share Transfer") to Mizuho Securities Co., Ltd. (Head Office: Chiyoda-ku, Tokyo; President and CEO: Yoshiro Hamamoto) for approx. 29.01% of common stock of Rakuten Securities, Inc. (Head Office: Minato-ku, Tokyo, President and CEO: Yuji Kusunoki) owned by Rakuten Securities Holdings, as previously described in “Announcement Regarding Strengthening of Strategic Capital and Business Alliance between Rakuten Securities Holdings and Mizuho Securities”, published on November 9, 2023. The share transfer was completed on December 15, 2023.
Following this, out of the total gross transaction amount of approximately JPY 87 billion, the Company received approximately JPY 67 billion in dividends from Rakuten Securities Holdings after a deduction of approximately JPY 16 billion as a settlement of the “group aggregation tax effect amount” among the “group aggregation companies” under the Japanese group aggregation tax system, etc., and approximately JPY 4 billion of related tax expense that will be a cash-out from the Rakuten Group. The Company also announces that this falls under the requirements for submission of extraordinary reports based on Article 24-5, Paragraph 4 of the Financial Instruments and Exchange Act, and Article 19, Paragraph 2, Item 12 of the Cabinet Office Ordinance on Disclosure of Corporate Affairs, etc.
１. Summary of dividends
(1) Amount of dividends: Approximately JPY 67 billion
(2) Date of receipt: December 15, 2023
(3) Name of consolidated subsidiary: Rakuten Securities Holdings, Inc.
2. Impact on financial results
The above dividend income will be recorded as non-operating income in the Company's non-consolidated financial results for the fiscal year ending December 2023. As these dividends are from a consolidated subsidiary, there will be no impact on the Company’s consolidated financial results for the fiscal year ending December 2023.