FOOD & LIFE COMPANIES transferred Kyotaru, a long-established takeaway sushi business, to SRS Holdings for approximately ¥3.7 billion. It also subscribed to an approximately ¥6.48 billion third-party allotment capital increase, eliminating Kyotaru's negative net worth before proceeding with the transaction. The sale is said to have been driven by changes in the prepared-food market and increased use of digital technology.
FOOD & LIFE COMPANIES (F&LC) sold all shares of Kyotaru to SRSHD. The transfer price was approximately ¥3.7 billion. F&LC had acquired Kyotaru from YOSHINOYA HOLDINGS CO.,LTD. in April 2021, meaning it sold the business after approximately five and a half years.
Kyotaru has undergone various changes, including delisting and relisting. In the fiscal year ended September 2025, it returned to profitability with revenue of ¥23.5 billion and segment profit of ¥60 million, although it recorded net losses in fiscal 2023 and fiscal 2024. Immediately before the sale, it had liabilities of approximately ¥10.72 billion and negative net worth of approximately ¥3.0 billion.
F&LC eliminated Kyotaru's negative net worth through an approximately ¥6.48 billion third-party allotment capital increase, restoring net assets to approximately ¥3.48 billion before transferring the company to SRSHD. This has led to the assessment that SRSHD can keep goodwill to approximately ¥100 million to ¥200 million.
Market participants have analyzed the background to SRSHD's acquisition in connection with changes in businesses other than conveyor-belt sushi and the acceleration of digital technology use. Attention is focused on the reconstruction measures and earnings improvement plans to be announced by both companies and on future developments.