Citadel has accumulated a 4.5% stake in Japanese railway and real estate group Hankyu Hanshin Holdings, becoming its second-largest shareholder as the hedge fund expands its investment activities in Japan, according to a report by Bloomberg.

The holding, disclosed in Hankyu Hanshin's semiannual report, was owned by Citadel's Multi-Asset Master Fund as of 30 September. The filing also revealed that Aya Nomura, daughter of prominent Japanese activist investor Yoshiaki Murakami, held a 1.5% stake in the Osaka-based company.

Hankyu Hanshin was established in 2006 following Hankyu Holdings' acquisition of rival railway operator Hanshin Electric Railway, which had previously been targeted by Murakami. Shares in the company rose as much as 3.7% in Tokyo following the disclosure, extending their gains for 2026 to approximately 21%, ahead of Japan's Topix index.

The investment comes as Citadel continues to expand its presence in Japanese markets. The firm acquired a local electricity trading business in 2024 as part of its push into commodities, while its international equities strategy includes deploying substantial capital into individual companies where it identifies high-conviction fundamental opportunities.

Hankyu Hanshin declined to comment on the investment, while the filing did not disclose Citadel's intentions regarding its stake.