
In today’s briefing:
- [Japan M&A] Son of Chairman/55%Owner Taking Imagica (6879) Private at 10x FCF, 4+x EBITDA. CHEAP.
- Nissin Corp (9066 JP): A Rumoured Bain-Sponsored MBO?
- Daiichi Jitsugyo (8059 JP): Full-year FY03/25 flash update
- Gakken Holdings (9470 JP): 1H FY09/25 flash update
- Inabata & Co (8098 JP): Full-year FY03/25 flash update
- Monex Group Inc (8698 JP): Full-year FY03/25 flash update
- Seria Co Ltd (2782 JP): Full-year FY03/25 flash update
- Anicom Holdings (8715 JP): Full-year FY03/25 flash update
- Yellow Hat Ltd (9882 JP): Full-year FY03/25 flash update
- CELSYS (3663 JP): Q1 FY12/25 Flash update

[Japan M&A] Son of Chairman/55%Owner Taking Imagica (6879) Private at 10x FCF, 4+x EBITDA. CHEAP.
- This deal should not come as a surprise. Bloomberg has an article out saying tycoons are taking companies private to avoid shareholder activism. It’s not just that.
- The stated reasons (competitive environment requiring faster decision-making and significant restructuring) are all kinda hot garbage. This is being done at adjusted EV/EBITDA of 4x and 10x FCF.
- And there are no synergies counted, and half of the Adjusted EV is net receivables+inventory equal to about 2mos of revenues. This is being done too cheaply. But…. TIJ baby…
Nissin Corp (9066 JP): A Rumoured Bain-Sponsored MBO?
- Nissin Corp (9066 JP) shares were up 10.3% based on a Bloomberg report that it would be privatised through a Bain-sponsored MBO.
- The deal is expected to exceed JPY100 billion. Assuming this refers to a market cap, the implied offer price is around JPY6,500 (21.5% premium to last close).
- While the rumoured offer represents an all-time high share price, it is light compared to precedent and peer multiples. A long-dated offer makes it susceptible to a counterbid.
Daiichi Jitsugyo (8059 JP): Full-year FY03/25 flash update
- FY03/25 results: Orders JPY206.3bn (+1.3% YoY), revenue JPY221.8bn (+18.1% YoY), operating profit JPY13.1bn (+44.1% YoY).
- FY03/26 forecast: Orders JPY230.0bn (+11.5% YoY), revenue JPY220.0bn (-0.8% YoY), operating profit JPY12.0bn (-8.4% YoY).
- DJK’s “V2030” strategy targets JPY18.0bn operating profit by FY03/31, with ROE of 10% or higher.
Gakken Holdings (9470 JP): 1H FY09/25 flash update
- Revenue increased by JPY5.3bn YoY, driven by Kirihara Shoten’s addition and increased study guide sales.
- Operating profit declined by JPY600mn due to rising costs in Healthcare and Welfare; Educational segment saw profit growth.
- Net income rose by JPY652mn, aided by absence of prior stock sale loss and step acquisition gain.
Inabata & Co (8098 JP): Full-year FY03/25 flash update
- FY03/25 saw a 9.4% YoY sales increase, driven by a weaker yen and strong Japan and Southeast Asia performance.
- Operating profit rose 21.9% YoY due to higher sales and improved margins, while net income decreased slightly.
- FY03/26 forecasts sales growth but profit decline, with concerns over US tariffs, inflation, and geopolitical issues.
Monex Group Inc (8698 JP): Full-year FY03/25 flash update
- Consolidated net operating revenue was JPY17.0bn, down 2.4% YoY and 6.3% QoQ, with commissions received at JPY8.2bn.
- US segment net operating revenue increased 3.3% YoY and 4.8% QoQ to USD76.0mn, with brokerage commissions at USD26.4mn.
- Crypto Asset segment net trading income was JPY3.2bn, down 22.7% YoY and 27.3% QoQ, with SG&A expenses at JPY3.7bn.
Seria Co Ltd (2782 JP): Full-year FY03/25 flash update
- Sales reached JPY236.3bn (+5.9% YoY) with operating profit at JPY16.8bn (+11.3% YoY) and net income JPY11.2bn (+14.2% YoY).
- For FY03/26, Seria forecasts sales of JPY242.9bn (+2.8% YoY) and net income of JPY10.2bn (-9.1% YoY).
- The company plans to open 120 directly managed stores and close 70, totaling 2,122 stores by FY03/26 end.
Anicom Holdings (8715 JP): Full-year FY03/25 flash update
- Recurring revenue increased by 12.0% YoY to JPY67.7bn, driven by underwriting, investment, and other revenue growth.
- Recurring profit rose 18.8% YoY to JPY4.9bn, aided by cost control, operational efficiency, and decreased expenses.
- FY03/26 forecast anticipates record-high revenue but declining profit due to one-time AXA Direct policy transfer fees.
Yellow Hat Ltd (9882 JP): Full-year FY03/25 flash update
- FY03/25 sales increased 5.1% YoY to JPY154.1bn, with operating profit up 6.7% YoY to JPY15.5bn.
- Yellow Hat expanded sales of expendable auto parts and services, acquiring Y International Inc. for diversification.
- FY03/26 projections: sales JPY170.0bn (+10.3% YoY), operating profit JPY15.9bn (+2.9% YoY), net income JPY11.4bn (+1.2% YoY).
CELSYS (3663 JP): Q1 FY12/25 Flash update
- Celsys Q1 FY12/25 sales were JPY2.4bn (+19.4% YoY), with operating profit at JPY759mn (+34.2% YoY).
- Creator Support segment sales reached JPY2.1bn (+23.0% YoY), driven by CLIP STUDIO PAINT’s global expansion.
- Creator Platform segment sales were JPY345mn (+1.5% YoY), with ongoing development of a new platform service for FY12/26.