The Tokyo Stock Exchange formally adopted a plan Wednesday at an extraordinary general meeting of TSE member brokerage houses to transform the world's second-largest bourse into a stock company.
The TSE, currently a membership organization, will on Nov. 1 become Tokyo Stock Exchange Inc.
The conversion into a stock company is expected to expedite fundraising by the exchange while motivating it to boost operational efficiency.
The transformation is also expected to make it easier for the exchange to form alliances with overseas bourses.
Under the plan, the TSE will have 11 board members with a majority of them appointed from the outside.
Among the non-TSE officials are Hiroshi Okuda, chairman of Toyota Motor Corp., Nobuo Tateishi, chairman of Omron Corp., Hisashi Moriya, chairman of Merrill Lynch Japan Securities Co., and Hitoshi Maeda, professor of law at Gakushuin University. Masaaki Tsuchida, the current TSE president, is expected to be named president of the new corporation.
The TSE, commanding nearly a 90 percent share in stock deals in Japan, began mulling the stock company idea last year in a bid to boost competitiveness against overseas stock markets in the face of increasingly globalized trading.
The Osaka Securities Exchange became a private company in April.