Komori
M&A and Subsidiary Changes2982A.D.Works Group Co.,Ltd.Real Estate

Notice Regarding the Commencement of Hotel Operations by a Consolidated Subsidiary

An existing wholly owned subsidiary will newly commence a business operating and providing outsourced management services for apartment hotels, primarily in Tokyo, Osaka and Fukuoka. In connection with this, its corporate name will be changed to 株式会社ADWホテルマネジメント, and its management structure will be revamped.

Worth reading
29Immaterial
Scored from 4 of 5 sections
Direction
Neutral
Direction inferred from the company’s description.
Scale
40
Number of properties operated (2034 target)
Wording
Conditional
How definitive the wording is.

This transaction

Commencement of a hotel operations business
Disclosing companyA.D.Works Group Co.,Ltd.
株式会社ADWホテルマネジメントVoting rights ownership percentage

The voting-rights ratio is the share of the votes exercisable at a shareholders’ meeting that will be held after this transaction.The percentage before the change is not stated in this document.

TimelineThe spacing between the points is proportional to the actual number of days.
Target company

Hotel Operations Business

Location Chiyoda-ku, TokyoShare capital ¥9 millionDate of incorporation 1 December 2020
Consideration and expenses
Expenses other than the acquisition priceThe specific amount has not yet been determined, including system costs related to hotel operations, staff personnel expenses and advertising expenses related to outsourced management sales activities.
Impact on Business Performance

The impact on consolidated results for the fiscal year ending December 2026 will be immaterial.

Procedures and assumptions
Management structure after acquisitionThe corporate name will be changed to 株式会社ADWホテルマネジメント, with Suzuki Toshiya (鈴木俊也) serving as Representative Director and Chairman and Yoshida Jun (吉田淳) serving as Representative Director and President. The company will recruit multiple specialists in hotel management and operations, construction and renovation, revenue management, customer acquisition and marketing, among other areas, to establish an organizational structure for advancing the business.
This transaction
ItemDetails
Transaction nameCommencement of a hotel operations business
Name of the Subject Company株式会社ADWホテルマネジメント
Business Description of the Subject CompanyHotel Operations Business
Location of the Subject CompanyChiyoda-ku, Tokyo
Capital Stock of the Subject Company¥9 million
Date of Establishment of the Subject Company1 December 2020
Expenses other than the acquisition priceThe specific amount has not yet been determined, including system costs related to hotel operations, staff personnel expenses and advertising expenses related to outsourced management sales activities.
Voting rights ownership percentageAfter 100% (before not disclosed)
Impact on Business PerformanceThe impact on consolidated results for the fiscal year ending December 2026 will be immaterial.
Date of board resolution16 September 2026
Execution Date / Effective DateFrom October 2026 (commencement of sales activities for outsourced management services)
Management structure after acquisitionThe corporate name will be changed to 株式会社ADWホテルマネジメント, with Suzuki Toshiya (鈴木俊也) serving as Representative Director and Chairman and Yoshida Jun (吉田淳) serving as Representative Director and President. The company will recruit multiple specialists in hotel management and operations, construction and renovation, revenue management, customer acquisition and marketing, among other areas, to establish an organizational structure for advancing the business.
Items this document does not state (20)
Counterparty nameNet Sales of the Subject CompanyOperating Profit of the Subject CompanyNet Income of the Subject CompanyNet Assets of the Subject CompanyAcquisition priceType of ConsiderationMerger ratio/share exchange ratioTender offer priceMinimum number of shares to be purchasedTender offer periodNumber of shares acquiredFunding arrangementsGoodwill amountAmount of extraordinary income (loss)Contract DateValuation methodologyIndependent valuation institutionSpecial CommitteeConditions Precedent to Execution

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

The company expects the apartment hotel market to grow, driven by factors including the increase in foreign visitors to Japan. It can also leverage the Group's expertise in acquiring, developing and enhancing the value of income-producing real estate, while expanding its asset-light income business by recruiting experienced specialists. The corporate name will be changed to clarify that the company is responsible for the hotel operations business and to enhance recognition and trust among hotel owners and others.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Notice Regarding the Commencement of Hotel Operations by a Consolidated Subsidiary | A.D.Works Group Co.,Ltd. (2982) timely disclosure | Komori