Web files suit to reclaim damages from price manipulation
Hisashi Hieda, chairman of Fuji Television Network, said Thursday that the web will sue Internet startup Livedoor for damages resulting from enormous losses on Fuji’s Livedoor stock.
In May, Fuji paid $376 million for 133.74 million Livedoor shares. In return Livedoor called off its attempt to take over Nippon Broadcasting System, a radio broadcaster that is a Fuji group company.
Since the arrest of Livedoor prexy Takafumi Horie and other executives in January and revelations about the firm’s illegal share price manipulation, the value of Fuji’s 12.75% Livedoor stake has plummeted.
The shares that Fuji bought for 329 yen ($2.78) in May were worth 66¢ at the end of trading on Thursday.
Hieda said Fuji is mulling selling its Livedoor shares to determine the exact amount of its losses. The web will then file suit to reclaim damages.