Activist Campaign

Taking Fujitec to the Next Level

AVI press release Jun 29, 2022 raising concerns over Fujitec’s outside directors

AVI is proposing an integrated set of measures to solve Fujitec’s problems. The recommended solutions are not narrowly focused on balance sheet improvements, but also address strategy and governance.

  • Fujitec should perform a fundamental strategic review with the help of outside professionals to identify areas for improvement and outline a transformation plan. The review should focus on utilising outsourced manufacturing, growing after-sales services, and include the exploration of merger options with competitors.​
  • As the first step toward greater capital efficiency, Fujitec should commit to divesting its “strategic holdings” in other listed companies. Along with its new transformation plan, Fujitec should establish a clearly defined and transparent capital policy that sets clear investment hurdle rates for future capital expenditures.
  • To improve governance and re-invigorate the company, Fujitec should adopt a three-committee style board structure, establishing a Nominating and Compensation Committee to recruit additional experienced independent directors, including an independent Chairman. Independent directors should be given broad authority to supervise management’s execution of the transformation plan.

We want to support Fujitec in becoming a best-in-class elevator & escalator company focused on Asia, after-sales services, and technology.  

Joe Bauernfreund
12th May 2020

About AVI

Founded in London in 1985, AVI has a long history of investing in Japan. Over the past few years we have observed the heightening interest in Japan driven by corporate governance reforms. What we have seen convinces us that profound change is underway, and we launched a dedicated fund, AVI Japan Opportunities Trust (‘AJOT’), to target the plentiful opportunities the reforms will bring. Across AJOT and AVI Global Opportunities Trust (‘AGT’), AVI has ¥55bn invested in Japan.

We always take a long-term view with our investments, seeking high-quality companies that the market misunderstands and undervalues. We work with company management and boards to improve long-term corporate value.

Please choose:

This website, and the information contained herein, (collectively referred to as “the Website”) is being provided for the shareholders of Fujitec (TSE 6406) for information purposes only.  Asset Value Investors Limited (“AVI”) is the investment manager of two of the shareholders of Fujitec, namely AVI Global Trust (“AGT”) and AVI Japan Opportunity Trust (“AJOT”).

AVI is authorised and regulated by the UK Financial Conduct Authority (“FCA”) and is also registered as an Investment Advisor with the United States Securities and Exchange Commission (the “SEC”) under the United States Investment Advisors Act of 1940.

The Website is directed only at Professional Clients or Eligible Counterparties as defined by the UK FCA.

In the Website, AVI demands Fujitec adopt fundamental reforms to address persistent underperformance.  A detailed presentation has been published whereby AVI proposes an integrated set of measures to address Fujitec’s problems.  The recommended solutions are not narrowly focused on balance sheet improvements, but also address strategy and governance.

The Website was created solely for the purpose mentioned above and is provided for information purposes only.  AVI is by no means soliciting or requesting other shareholders of Fujitec to jointly exercise their shareholders’ rights with AVI (including, but not limited to, voting rights).

The Website exclusively represents the opinions, interpretations and estimates of AVI in relation to Fujitec’s business and governance structure.  AVI is expressing such opinions, interpretations and estimates solely in its capacity as an investment manager of AGT and AJOT.

The information contained herein is derived from proprietary and non-proprietary sources deemed by AVI to be reliable.  While AVI believes that reasonable efforts have been made to ensure the accuracy of the information contained in the Website, AVI makes no representation or warranty, expressed or implied, as to the accuracy, completeness or reliability of such information.








本ウェブサイトに掲載される情報は、AVIが信頼できると判断した専有又は非専有の情報源から得たものです。AVIは本ウェブサイトに掲載する情報の正確性を確保するために合理的な注意を払っておりますが、その正確性、完全性および 信頼性について明示・黙示にかかわらず一切の表明・保証をするものではありません。