WORLD Co., Ltd. (Stock Code: 3612, hereinafter referred to as "WORLD") has decided to acquire all shares of Mitsubishi Corporation Fashion Co., Ltd. (hereinafter referred to as "Mitsubishi Corporation Fashion"), making it a wholly owned subsidiary. This transaction was approved at the board meeting held on November 28, 2024, and the contract was signed on the same day. The acquisition is aligned with WORLD's medium- to long-term growth vision and aims to strengthen its business foundation in the fashion industry.
Purpose of M&A
WORLD is pursuing sustainable growth under the vision of creating a "unique and unparalleled fashion ecosystem." Mitsubishi Corporation Fashion is recognized as a fabless manufacturer with strong procurement capabilities and systems in the apparel industry. It is also regarded as a competitive company in problem-solving business models and brand co-management ventures.
Through this acquisition, the following four synergies are anticipated:
- Expansion of OEM Business: By integrating the planning and production capabilities of both companies, WORLD aims to enhance brand value, strengthen procurement capacity, and expand the customer base.
- Enhancement of the Platform Business: Establishing a system to provide a one-stop solution by covering the entire value chain from upstream to downstream, offering a wide range of services.
- Expansion of Brand Investment Business: Leveraging M&A strategies to combine the resources and expertise of both companies, further enhancing brand value.
- Strengthening Talent and Customer Foundations: Promoting talent exchange between the companies and leveraging diverse customer touchpoints to enhance overall competitiveness.
This M&A is considered a significant step in WORLD's business strategy, expected to fortify its foundation for further growth domestically and internationally.
Acquisition Terms
WORLD will acquire 44,233 shares of common stock in Mitsubishi Corporation Fashion for a total purchase price of JPY 9.325 billion.
Schedule
Board Approval Date: November 28, 2024
Agreement Signing Date: November 28, 2024
Stock Transfer Execution Date: Scheduled for February 2025
