Update to the “TOSHIN HOLDINGS CO.,LTD Rehabilitation Plan” and submission to Tokyo Stock Exchange, Inc.
TOSHIN HOLDINGS CO.,LTD
The Group’s mobile, resort and real estate businesses
An accounting scandal at a subsidiary led to a disclaimer of audit opinion, the need to improve the internal control system, breaches of covenants under borrowing agreements, and requests for payment deferrals from financial institutions.
Company response
Closed the unprofitable Golf Freaks business.
Received an opinion letter from attorney Nagasawa Toru (永沢徹), who had been a candidate for the investigation committee, regarding the prospects of obtaining court approval for a reorganization plan prepared on the basis of the initial rehabilitation plan.
Fundamental review of the mobile business, improvement of the resort business, reduction of expenses, particularly head office costs, strengthening of the management system, including monitoring, training and development of sales staff, review of promotional expenses, review of employment conditions to strengthen staffing, attracting customers regardless of season, further optimization of pricing, transition to a flexible staffing structure adapted to busy and slow periods, and control of various expenses, including advertising and publicity expenses, entertainment expenses and maintenance fees.
Utilized a type of corporate reorganization proceeding in which a trustee is appointed in place of the current management.
Related procedures
Corporate Reorganization Proceedings
Tokyo District Court, Tokyo Stock Exchange, Inc., and Japan Exchange Regulation
Although this document presents the earnings outlook under the rehabilitation plan, any revision to the existing earnings forecasts is not disclosed.
Obtain approval from the Tokyo District Court for the proposed reorganization plan, continue searching for a sponsor, conduct a third-party allotment of shares as necessary, and advance business rehabilitation through a review of business strategy and expense reductions.
The detailed terms and conditions for a prospective sponsor’s subscription for the capital increase will be reported once determined.
Refers to a previous disclosure stating that a third-party committee was established on 9 May 2025.
| Item | Details |
|---|---|
| Event name | Update to the “TOSHIN HOLDINGS CO.,LTD Rehabilitation Plan” and submission to Tokyo Stock Exchange, Inc. |
| Date of occurrence | 9 September 2026 (the date on which the updated rehabilitation plan was submitted) |
| Subject Entity | TOSHIN HOLDINGS CO.,LTD |
| Target Locations / Products | The Group’s mobile, resort and real estate businesses |
| Cause | An accounting scandal at a subsidiary led to a disclaimer of audit opinion, the need to improve the internal control system, breaches of covenants under borrowing agreements, and requests for payment deferrals from financial institutions. |
| Impact on Earnings Forecast | Although this document presents the earnings outlook under the rehabilitation plan, any revision to the existing earnings forecasts is not disclosed. |
| Type of litigation or proceeding | Corporate Reorganization Proceedings |
| Court or authority | Tokyo District Court, Tokyo Stock Exchange, Inc., and Japan Exchange Regulation |
| Date of filing / date of action | Date of the order commencing corporate reorganization proceedings: 8 May 2026. Date designated as a Security on Alert: 22 November 2025 |
| Suspended operations | Closed the unprofitable Golf Freaks business. |
| Investigation structure | Received an opinion letter from attorney Nagasawa Toru (永沢徹), who had been a candidate for the investigation committee, regarding the prospects of obtaining court approval for a reorganization plan prepared on the basis of the initial rehabilitation plan. |
| Measures to prevent recurrence | Fundamental review of the mobile business, improvement of the resort business, reduction of expenses, particularly head office costs, strengthening of the management system, including monitoring, training and development of sales staff, review of promotional expenses, review of employment conditions to strengthen staffing, attracting customers regardless of season, further optimization of pricing, transition to a flexible staffing structure adapted to busy and slow periods, and control of various expenses, including advertising and publicity expenses, entertainment expenses and maintenance fees. |
| Directors' and officers' liability | Utilized a type of corporate reorganization proceeding in which a trustee is appointed in place of the current management. |
| Outlook | Obtain approval from the Tokyo District Court for the proposed reorganization plan, continue searching for a sponsor, conduct a third-party allotment of shares as necessary, and advance business rehabilitation through a review of business strategy and expense reductions. |
| Planned follow-up disclosure | The detailed terms and conditions for a prospective sponsor’s subscription for the capital increase will be reported once determined. |
| Third-party committee/special investigation committee | Refers to a previous disclosure stating that a third-party committee was established on 9 May 2025. |
Items this document does not state (10)
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.To reflect the details of the rehabilitation plan in line with actual conditions, based on progress and other developments since 8 May 2026.