Akio Toyoda was re-elected chairman of Toyota Motor during the company’s annual general meeting on Thursday, securing continued support from shareholders despite international criticism of a $33 billion buyout bid involving group company Toyota Industries. The re-election signals strong backing from domestic retail investors, even as concerns persist about corporate governance and minority shareholder treatment.
This marks the first time in three years Toyoda faced no opposition from major proxy advisory firms. Both Glass Lewis and Institutional Shareholder Services recommended shareholders re-elect him, reversing their previous calls due to governance concerns. While the detailed vote count has not yet been released, last year Toyoda received only 72% support, the lowest on record for any Toyota director.
The re-election comes as Toyota Motor moves forward with a 4.7 trillion yen ($33 billion) plan to take Toyota Industries private. The automaker says the deal will allow for closer collaboration among group firms without pressure from short-term earnings expectations. However, critics argue the bid undervalues Toyota Industries and would further consolidate control under the founding Toyoda family. The deal is priced at 16,300 yen per share and includes a personal investment of 1 billion yen by Toyoda himself.
The proposal has sparked concern among foreign investors, particularly regarding fairness for minority shareholders. Earlier this week, executives at Toyota Industries were questioned by shareholders about the bid. Although Toyoda does not sit on that company’s board, the deal has intensified scrutiny of the family’s corporate influence and governance practices.
The acquisition strategy reflects the company’s shift toward redefining itself as a mobility-focused group, beyond traditional vehicle manufacturing. Supporters view the buyout as a step toward long-term stability and innovation across the Toyota ecosystem.
Founded in 1926 as Toyoda Automatic Loom Works, Toyota Industries was the origin of Toyota Motor. The buyout, if completed, would represent a significant structural move within one of Japan’s most influential business groups.
