nintendo is preparing for a major shake-up of its shareholder base, with a group of long-term strategic holders planning to sell about $1.9 billion worth of shares. The move, which comes as a sign that Japan's era of cross-shareholding is still unraveling, is poised to reshape Nintendo's ownership profile, which could have long-term implications for the gaming giant.
Nintendo's shareholder base is dominated by trust and custody accounts that hold shares on behalf of primary investors, and a second tier of large international custodians and asset managers. As of the company's latest stock information disclosure as of September 2025, Japan Master Trust Bank's trust account is the largest registered holder, accounting for approximately 16.29% of the shares. Saudi Arabia's Public Investment Fund became Nintendo's largest foreign shareholder in 2023. It is unclear whether he still holds that title three years later, as he has since reduced his stake in the company to 4.19%.
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Nintendo's strategic shareholders will receive $1.9 billion in revenue.
Nintendo said on February 27 that a group of shareholders including a major Japanese bank would sell a significant portion of its shares as part of a “strategic stake liquidation,” as first reported by Reuters. The deal uses Friday's closing prices and is valued at 290 billion yen, equivalent to about $1.9 billion based on the Feb. 28 exchange rate. This therefore affects approximately 2.8% of Nintendo's outstanding shares. Kyoto Bank, Resona Bank, and mobile gaming giant (and long-time Nintendo partner) DeNA are among the companies selling shares as part of the initiative.
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The seller's list is important because it is a textbook example of Japan's cross-shareholding model, in which companies and financial institutions own shares in each other to strengthen their business relationships. The practice began shortly after World War II, but regulators and the Tokyo Stock Exchange have been pressuring companies to cut back on it in recent years. Nintendo framed the deal as part of a broader easing of tensions, reflecting accelerating corporate governance trends among Japan's blue chips. This isn't the first time a bank has sold Nintendo stock on a large scale. In a similar scheme, financial institutions sold 71 billion yen of Nintendo stock in 2019.
One of the key public questions is whether Nintendo will reduce its own holdings in institutions that currently sell Nintendo stock. This is often the other half of “strategic” cross holdings. Nintendo's announcement focuses on counterparties selling Nintendo stock, but it is unclear from the current disclosure whether Nintendo plans to sell any shares it may hold to those banks as part of a mutual unwind. Still, the move is significant because it immediately capitalizes on a rare bank holding position in one of Japan's most widely owned blue chips, while also testing how much demand there is for Nintendo stock after the stock's volatility.
Nintendo's largest shareholder
|
shareholder |
Ownership % |
memo |
|---|---|---|
|
Japan Master Trust Bank (trust account) |
16.29% |
Japanese Trust Bank Holder Account |
|
Bank of Japan Co., Ltd. (trust account) |
5.24% |
Japanese custodian bank nominee account |
|
public investment fund |
4.19% |
|
|
Kyoto Bank |
4.19% |
local bank; Reduce stake in early 2026 |
|
Nomura Trust Bank (MUFG retirement benefit trust account) |
3.62% |
Trust account linked to MUFG-related retirement benefit arrangements |
|
JP Morgan Chase Bank (380815) |
3.71% |
Global Custodian/Nominee Account |
|
State Street Bank and Trust Company (505001) |
3.38% |
Global Custodian/Nominee Account |
|
JP Morgan Chase Bank (385632) |
2.91% |
Global Custodian/Nominee Account |
Shareholder data is based on Nintendo's report dated September 30, 2025, which is the latest official update on the company's stock status as of February 28, 2026.
Nintendo shares rose nearly 3% in immediate trading following the Reuters report and Nintendo's confirmation, while shares of Kyoto Financial Group surged nearly 10%, suggesting investors viewed the deal as supportive for at least some participants. Separately, Nintendo announced plans to purchase up to 14 million shares worth 100 billion yen (about $645 million). This move will mitigate the impact of additional supply arising from the sale.
Why Nintendo Fans Are Interested in This Deal
It is unlikely that this stock sale will have a significant impact on Nintendo's operations right now. However, as strategic holders step aside and the ownership structure becomes more market-driven, Nintendo may face increased scrutiny over its profitability, pricing, release cycle and capital allocation, supported by a large liquidity buffer that includes 1.71 trillion yen in cash and deposits as of September 30, 2025.
