Nintendo is gearing up for a massive shakeup of its shareholder base, with about $1.9 billion worth of stock to be sold by a group of long-time strategic holders. The move, which comes as a signal that Japan's era of cross-ownership is still winding down, is poised to reshape Nintendo's ownership profile, which could have long-term effects on the gaming giant.
Nintendo's shareholder base is dominated by trust and custody accounts that hold shares on behalf of underlying investors, with a second tier of large international custodians and asset managers. Based on the company's latest disclosure of stock information from September 2025, The Master Trust Bank of Japan Trust Account is the largest named holder and accounts for about 16.29% of the ownership. Saudi Arabia's Public Investment Fund became Nintendo's largest foreign shareholder in 2023. It is unclear whether it still holds that title three years later as it has since reduced its stake in the company to 4.19%.
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Nintendo's strategic shareholders plan a $1.9 billion sale
Nintendo revealed on February 27 that a group of shareholders – including major Japanese banks – will sell a large block of its shares as part of a “disposal of strategic shareholdings”, first reported by Reuters. The deal uses Friday's closing price and is valued at ¥290 billion, which is about $1.9 billion based on February 28 exchange rates. As such, it affects about 2.8% of Nintendo shares outstanding. Bank of Kyoto, Resona Bank and mobile gaming giant (and longtime Nintendo partner) DeNA are among the companies selling shares as part of the initiative.
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The seller list is important because it is a textbook example of Japan's cross-shareholding model: companies and financial institutions that own stakes in each other to strengthen business ties. The practice dates back to the immediate post-World War II era, but regulators and the Tokyo Stock Exchange have pushed companies to reduce it in recent years. Nintendo framed the transaction as part of the broader unwinding, reflecting a corporate governance trend that has accelerated among Japanese blue chips. This isn't the first large-scale offloading of Nintendo stock from banks; A similar initiative saw financial institutions sell ¥71 billion worth of Nintendo stock in 2019.
An important open question is whether Nintendo will also reduce its own holdings in the institutions that now sell Nintendo stock, which is often the other half of “strategic” cross-holdings. Nintendo's announcement focuses on counterparties selling Nintendo stock, but current disclosures don't make it clear whether Nintendo plans to sell any shares it may have in those banks as part of a mutual settlement. Either way, the move is significant because it puts a rare, bank-owned position in one of Japan's most owned blue chips into play at once, while also testing how much demand there is for Nintendo stock after a volatile stretch for the stock.
Nintendo's largest shareholder
|
Shareholder |
Ownership % |
Notes |
|---|---|---|
|
The Master Trust Bank of Japan, Ltd. (trust account) |
16.29% |
Japanese Trust Bank Trustee Account |
|
Custody Bank of Japan, Ltd. (trust account) |
5.24% |
Japanese custodian bank trust account |
|
Public investment fund |
4.19% |
|
|
Bank of Kyoto, Ltd. |
4.19% |
Regional bank; reduce its share at the beginning of 2026 |
|
The Nomura Trust and Banking Co., Ltd. (MUFG Retirement Trust Account) |
3.62% |
Trust account linked to MUFG-related pension benefits |
|
JP Morgan Chase Bank (380815) |
3.71% |
Global custody/custodial account |
|
State Street Bank and Trust Company (505001) |
3.38% |
Global custody/custodial account |
|
JP Morgan Chase Bank (385632) |
2.91% |
Global custody/custodial account |
Shareholder data is based on a Nintendo report dated September 30, 2025, which is still the latest official update on the company's stock status as of February 28, 2026.
In immediate trading after the Reuters report and Nintendo's confirmation, Nintendo shares closed up nearly 3%, while Kyoto Financial Group shares jumped nearly 10%, suggesting investors saw the transaction as supportive of at least some participants. Separately, Nintendo announced plans to buy back 100 billion yen (~$645 million) of its stock, up to 14 million shares. The move will dampen the effect of the extra supply created from the sale.
Why Nintendo fans might care about this deal
In the immediate term, the share sale is unlikely to have any material impact on Nintendo's operations. But as strategic holders step back and the ownership mix becomes more market-driven, Nintendo may face increased scrutiny of profitability, pricing, release cadence and capital allocation, supported by a large liquidity buffer that includes ¥1.71 trillion in cash and deposits as of Sept. 30, 2025.
