Toyota Motor's board on 5 November raised the upper limit of its current buyback to 610 million shares and ¥1.3tn, from 500 million shares and ¥1tn, and added a self-tender offer as a purchase method alongside market buying. The buying period is unchanged, running from 5 August 2026 to 4 August 2027. The company had bought 63,766,500 shares for ¥195.0bn through 30 September. Our Earlier Tokyo Brief coverage tracked that programme.
The tender
The tender is carried out under the enlarged authorization, so its cost is not an addition on top of the ¥1.3tn ceiling. Toyota will pay ¥2,725 a share, 10% below the ¥3,028 close on 4 November, which was lower than the one-month average of ¥3,030. The offer runs from 6 November to 7 December 2026, with settlement starting on 29 December. The planned purchase is 108,750,741 shares, 0.92% of shares outstanding excluding treasury stock, with an upper limit of 108,750,841 shares. If tenders exceed that, Toyota will buy pro rata. The cost is about ¥296.4bn, paid from cash on hand.
The sellers
Toyota says the tender responds to insurers' stated plans to cut cross-shareholdings, and that selling in the market could weigh on its share price. Four holders have said they will tender: Mitsui Sumitomo Insurance (60,729,315 shares), Aioi Nissay Dowa Insurance (3,308,326), Tokio Marine & Nichido Fire Insurance (38,298,600) and Sompo Japan (6,414,500). The first two are MS&AD subsidiaries. Toyota says the insurers are willing to tender more than that, so scaling back would be needed if applications exceed the cap. Their plans for any shares left after the tender are undecided, the notice says.
Cancellation
Toyota also raised the number of shares it plans to cancel to 1.2 billion from 200 million. Cancellation is scheduled for the end of the quarter in which purchases under the programme finish, and is a plan, not a completed step.