Watami, a major izakaya operator, is set to conduct an MBO, with the asset management company of founder Watanabe Miki (渡辺美樹) expected to launch a TOB shortly, with the aim of taking the company private and transitioning to a diversified foodservice business. The TOB is expected to be completed within the year.
It became known on the 12th that Watami, a major izakaya operator, will conduct a management buyout (MBO). The asset management company of Chairman and President Watanabe Miki (渡辺美樹), the company's founder, is expected to launch a tender offer (TOB) shortly, with completion expected within the year.
Through the MBO, Watami plans to take the company private and transition to a diversified foodservice business, its current business domain. The move is expected to facilitate new fast-food openings and the pursuit of overseas, delivery and medium- to long-term growth strategies.
The izakaya market is said to be struggling to grow amid a declining birthrate and an aging population, high prices and declining alcohol consumption. Watami's transition is viewed as part of its response to these external conditions, with the aim of strengthening its business portfolio.