Sega and its parent company may be distancing themselves.
Sega plans to sell the majority of its stake in parent company CSK by the end of the fiscal year, signaling the beginning of a possible separation between the two companies, the Nihon Keizai Shimbun reported Saturday. The 5.9% stake to be sold would amount to around 10 billion yen (around US$83 million) at current prices, and would be purchased entirely by CSK.
Such a move would end cross-shareholding between the two companies. Though CSK officials have said that the company plans to hold on to its 22.8% stake in Sega for time being, it is believed that the motivation behind CSK's maintenance of its Sega holdings is due to the company's slumping stock price. CSK has recently announced plans to narrow the focus of its business, and many analysts have predicted that it will sell its Sega stock when the market price increases.
Relations between the two companies have been distant since the death of Sega Chairman and CSK founder Isao Okawa, who was a strong supporter of Sega's business. Where Sega would go in the future without CSK's support is an interesting point to ponder, but when or even if CSK might let go of its holdings remains an entirely open question.