According to sources, Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group will begin to divest their strategic shareholdings worth 1.32 trillion Japanese yen (or $85 billion) in Toyota Motor, which represents the latest and most significant indication that Japan's large corporations are seriously considering unwinding their massive cross-shareholdings. The banks will reportedly sell Toyota stocks in stages and take advantage of Toyota's plan to buy back its own shares. The world's largest auto manufacturer announced a ¥1 trillion share buyback plan on May 8, which is equivalent to about 3% of its outstanding shares, far exceeding its previous buyback size. These insiders reportedly said that the adjustment aims to minimize the impact on the company's stock price. Despite the government's push for Japanese companies to dismantle cross shareholdings, progress has been slow among large banks and corporations. Cross shareholdings have been formed by Japanese companies for decades to strengthen business relationships. Given the scale and significance of this transaction, it may trigger a broader trend in Japan of relaxing equity ties.