Nikko AM shifts governance model ahead of IPO
Nikko Asset Management will nominate Takumi Shibata to take on the role of director and chairman prior to its initial public offering (IPO) in order to meet what it believes are international governance standards.
The business said it believed the roles of chairman and chief executive needed to be separated in order to meet accepted international standards on corporate governance.
The departure of two senior executives had left Charles Beazley as president, chief executive and chairman. He will now remain president and chief executive.
"I strongly believe that international best practice and good corporate governance requires a separation between the positions of chairman and chief executive and I informed the board early this year that this was the path we needed to follow," Beazley said.
"This is especially important for a company that intends to IPO and needs to meet the scrutiny of the international markets."
The decision to separate the functions was taken unanimously by the board, with Shibata identified as an excellent candidate due to his extensive experience of both Japanese and international markets.
The move comes in contrast to JP Morgan's decision to keep Jamie Dimon on as both chief executive and chairman.
Its most recent AGM was marred by demands from some stakeholders, including First Super, to separate the functions of chief executive and chairman, although JP Morgan was successful in its bid to keep Dimon in both spots.
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