Sony Sells More M3 Shares, Insurance Decision Made in Riot Case

Sony Corp. has announced today a 9.7% sale of shares in the medical company M3 Inc. The sale injects $379m into the Japanese firm as the second fiscal quarter nears its end.

Separately, two Sony insurers involved in the proceedings related to the destruction of a Sony distribution center in UK riots in 2011 have been told they can reclaim from the riot payout.M3 Stake Reduced

Sony today released details of plans to sell 155,000 shares in the company M3 to Deutsche Securities. M3 is an affiliate company of Sony which provides medical information services to doctors over the Internet. The buyer, Deutsche Securities, is headquartered in Tokyo, Japan and is a financial instruments business. After the sale, the PlayStation 4 producer will retain a 40% share in M3 and will continue to be a major shareholder. M3 shares dropped on the news today.

The value of the sale is expected to net ¥37.8bn ($379m) during the second quarter (July-September) in the fiscal year ending 31 March 2014. The sale is the second sale of shares in M3 in 2013, as Sony gained $1.2bn in February from a similar move. Sony expressed desire to continue working with M3 in various areas and has made other notable medical movements this year. The second quarter of this fiscal year ends in two weeks, perhaps suggesting a desire to boost account figures for the quarter or simply preparing for a capital investment elsewhere in the business.

UK High Court Ruling on Sony Building

Separately, the UK High Court has made a ruling related to a Sony distribution center that was destroyed during riots in London in 2011. The two insurers involved: Tokyo Marine and Mitsui Sumitomo, have won the right to be repaid for the insurance claim with UK police bosses now held responsible for reimbursement using police funds. The ruling decided that Mayor’s Office for Policing and Crime (MOPAC) is liable under the Riot Damages Act. The ruination of the Sony distribution center, looting, and arson resulted in a £49.5m claim, of which the Mr Justice Flaux said:

The whole incident took no more than just over three minutes…However the fire took hold and burned for some 10 days, with the total destruction of the plant, equipment and stock.

The full ruling document can be read here. More on this story can be followed here.