Pan Pacific International Holdings (PPIH) has signed an agreement to acquire the business of Japan Toys“R”Us, which is undergoing civil rehabilitation proceedings, and aims to increase toy-category revenue to approximately ¥150 billion upon completion of the transfer, thereby becoming the leader in Japan’s domestic toy market.
On 1 October, PPIH signed an agreement to acquire the business of Japan Toys“R”Us, with completion of the transfer scheduled for 30 October. The transfer price has not been disclosed. Negotiations are under way to assume approximately 150 stores nationwide, and the company says it plans to retain employees to the extent possible.
PPIH said it expects toy-category revenue to reach approximately ¥150 billion and anticipates taking the leading position in Japan’s domestic toy market, which is centred on physical stores.
Japan’s domestic toy market reached a record market size of ¥1.1664 trillion in fiscal 2025, based on suggested retail prices. The market is said to be driven by the “kidult” segment involving toys for adults and character intellectual property.
Japan Toys“R”Us has struggled because it had not sufficiently captured the kidult segment, but intends to pursue growth by using PPIH’s expertise together with its extensive store network.