Stock MarkNasdaq et Inc. is set to pull out of its joint venture in Japan -- Nasdaq Japan Inc., Japan's Kyodo News reported on Wednesday.
Nasdaq Stock Market, operator of the world's largest electronic stock market, will send officials to Japan as early as next week to discuss the fate of the loss-making Japanese bourse with officials at the Osaka Securities Exchange, the co-operator of the market, the report said.
Nasdaq Stock Market and major Japanese Internet investor Softbank Corp. are the two biggest shareholders in Nasdaq Japan, each owning a 43 percent stake in the joint venture.
The Nasdaq Japan market was opened in June 2000 within the Osaka exchange for Japanese venture businesses and about 100 companies are listed on the market.
But the Nasdaq Japan market failed to attract as many customers as planned and accumulated a 5.3 billion yen (44.9 million US dollars) loss as of the end of last year, according to Kyodo.
Nasdaq Stock Market reported last week it would write off the 20.1 million dollars it invested in and loaned to Nasdaq Japan.
The Osaka exchange plans to keep the market open after the Nasdaq withdrawal, but the Nasdaq pullout is likely to make it hard for the exchange to run Nasdaq Japan as many companies listed on it were lured by the Nasdaq involvement, Kyodo said.