Metsa Development Delays and License Continuation Risk
First written in FY2016. 10 of 15 entries say "Mitigated", first in FY2017. Latest entry: FY2026-H1.
No other company in this theme has enough history to compare yet.
- FY2026-H1DroppedAnnual report
「In connection with the transfer of part of the shares in ㈱ムーミン物語 held by the Company on 26 March 2026, ㈱ムーミン物語 and 飯能地域資源利活用合同会社 ceased to be subsidiaries of the Company and were excluded from the scope of consolidation. As a result, the following items among the “Business and Other Risks” described in the annual securities report for the previous fiscal year ceased to apply during the interim consolidated accounting period.」
It was explicitly stated that the license agreement risk disclosed in the previous fiscal year had ceased to apply following the transfer of part of the shares in ㈱ムーミン物語 and the entities' exclusion from consolidation. - 2026-03-26MitigatedM&A and Subsidiary Changes
「Taking into account the strengthening of the cooperative relationship aimed at the sustainable growth of Moominvalley Park, we have determined that this is reasonable.」
The strengthening of the cooperative relationship aimed at the sustainable growth of Moominvalley Park was described in connection with the transfer of shares to the licensor group. - FY2025-H1MitigatedAnnual report
「Permission to manufacture, sell and advertise Moomin character products at Moominvalley Park and its official website, among other activities」「From 1 April 2025 to 31 March 2029」
The license agreement covering products and other items at Moominvalley Park and its official website was renewed through 31 March 2029. - FY2023RestatedAnnual report
「The term is 35 years from 27 November 2017. However, the parties may evaluate and discuss the operation of the theme parks from 9 months before the end of the 25th year, and if they fail to agree on various terms or in other cases, the licensor has the right to terminate this agreement on the corresponding date 25 years later.」
The Company continues to disclose the 35-year term, evaluation and discussions after 25 years, and the right of termination relating to the exclusive license to operate Moomin theme parks. - FY2022-Q1Disclosure of changes to the theme park license agreement termsAnnual report
「Exclusive licensing for the operation of Moomin theme parks in Japan, including the sale of theme park products at locations in Japan other than the parks」「The term is 35 years from 27 November 2017. However, the parties may evaluate and discuss the operation of the theme parks from 9 months before the end of the 25th year, and if they fail to agree on various terms or in other cases, the licensor has the right to terminate this agreement on the corresponding date 25 years later.」
The amended terms of the executed theme park operation license agreement were disclosed, including the scope of the exclusive license, the 35-year contract term, evaluation and discussions after 25 years, and the right of termination. - FY2020MitigatedAnnual report
「Under an agreement dated 4 December 2020, the term was extended by 5 years and amended to end on 1 January 2030.」
For the domestic Japanese sublicense agreement for Moomin, an agreement was concluded to extend the contract term by 5 years to 1 January 2030. Progress on the contractual front in addressing the license continuation risk was indicated. - FY2019MitigatedAnnual report
「During the consolidated fiscal year, Metsä Village opened on 9 November 2018 and Moominvalley Park opened on 16 March 2019.」
Both facilities opened, reducing, to some extent, the previous risks relating to development delays and delays in the start of operations. The conditions for continuation of the license agreement and other matters continue to be disclosed. - FY2019-Q2MitigatedAnnual report
「Following the opening of Metsä Village on 9 November 2018 and Moominvalley Park on 16 March 2019, the Company began recognising revenue from admission fees, fees for paid facilities, merchandise sales, food and beverage sales, tenant rents and parking fees.」
The opening of both facilities reduced, to some extent, the previous risks relating to development delays and delays in the start of operations. - FY2019-Q1MitigatedAnnual report
「Metsä (Metsä Village and Moominvalley Park), for which construction began in July 2017, was completed in October 2018, and Metsä Village opened ahead of schedule on 9 November 2018」
Metsä was completed and Metsä Village opened, indicating progress in addressing the previous development delay risk. Preparations for the opening of Moominvalley Park are continuing. - FY2018-Q3MitigatedAnnual report
「Except for part of the facilities, the structural framing has been completed and finishing work on the interiors and exteriors is under way. In addition, work is progressing on the surrounding environment, detailed operating procedures and the recruitment of operating staff.」
Except for part of the facilities, the structural framing at Metsä has been completed, and work has progressed to finishing work, improvements to the surrounding environment, consideration of operating procedures and staff recruitment, indicating progress in addressing the previous development delay risk. - FY2018-Q2MitigatedAnnual report
「Construction contract for special interior and exterior work at Moominvalley Park (construction subject: movable property)」「¥940 million」「Completion and handover 31 January 2019」」
A specific construction contract was concluded for the special interior and exterior work at Moominvalley Park, and a completion and handover deadline was set. Progress in addressing the development delay risk was indicated. - FY2018-Q1MitigatedAnnual report
「Construction work at Metsä is proceeding as planned, with infrastructure trunk-line and civil engineering work progressing and the project moving to foundation work.」
Metsä development has moved to foundation work and is progressing as planned, indicating some progress in addressing the previous risk of development delays. - FY2017MitigatedAnnual report
「As Metsä commenced construction in July 2017 and funding was executed through the securitisation of the real estate of Moominvalley Park, the funding issue that had been a challenge for the Metsä business passed a major milestone.」
The funding risk for Metsä saw some progress through funding obtained via real estate securitisation. However, risks relating to development delays, costs, disasters, interest rates and license continuation remain. - FY2017-Q3WorsenedAnnual report
「Going forward, delays in various aspects of development, legal regulations beyond the Group's control, disasters such as major earthquakes, fires and floods, changes in market conditions and other factors may extend the period until the business launches or increase various costs, which may affect the Group's results and financial position. In developing Metsä, the Group has procured part of the required funds through borrowings from financial institutions and the capital markets. However, if sufficient funds cannot be raised for any reason, or if Metsä development does not proceed as planned due to a sharp increase in costs or other factors, the Group's results and financial position may be affected by lost revenue opportunities, the recognition of impairment losses and other factors. In addition, if current interest rates fluctuate as interest-bearing debt increases, the Group's results and financial position may also be affected.」
In addition to the existing risks of development delays, cost increases and license continuation, the Company explicitly identified the effects of disasters such as earthquakes, failure to raise the required funds, sharp cost increases and interest-rate fluctuations, thereby expanding the scope of the risks. - FY2016First statedAnnual report
「Accordingly, at a meeting of the Company's Board of Directors held on 6 December 2016, the opening of Metsä Village was changed to autumn 2018 and the grand opening of Moominvalley Park was changed to spring 2019. Going forward, delays in various aspects of development, legal regulations beyond the Group's control, changes in market conditions and other factors may extend the period until the business launches or increase various costs, which may affect the Group's results and financial position.」
The postponement of the opening dates had already been decided, and the Company disclosed the risks of further progress delays and cost increases, as well as the risk that the Moomin license agreement may not be renewed or continued.