Freshfields Bruckhous Deringer has produceda useful short memo summarizing the impact of the decision by the Japanese Supreme Court earlier this year regarding the appraisal rights (to receive a fair price) of an objecting shareholder in a demerger.
The decision illustrates that shareholdes who object to a transaction that does not increase corporate value will generally not receive a premium. This contrasts with squeeze outs following a takeover bid, in which case compensation may include a premium. For further information on squeeze-outs, please see our June 2009 briefing, New Supreme Court case on squeeze out compensation in Japan. http://www.freshfields.com/publications/pdfs/2009/jun09/26063.pdf