Daily Brief Japan: Maruwn Corp, Fujitec Co Ltd, Human Made, Towa Corp, ASICS Corp, Star Mica, Freee KK, Metaplanet, Paris Miki Holdings and more

• Today, logistics company SENKO Group Holdings Co., Ltd. (9069 JP) announced a bid for logistics company Maruwn Corp (9067 JP) with help from 35% holder JX Advanced Metals (5016 JP). 
• The TOB only needs 11+% to get to 50.1%. There are three holders who Senko clearly regard as not necessarily agreeable to the deal. They hold 28.0% between them. 
• If someone wanted to thwart this deal, there are a number of ways to do it. This could get interesting. 

• Maruwn Corp (9067 JP) has recommended a preconditional tender offer from SENKO Group Holdings Co., Ltd. (9069 JP) at JPY949, a 34.6% premium to the last close price.
• The offer is attractive as it is above the midpoint of the IFA DCF valuation range, represents an all-time high and implies a P/B of 1.08x.
• The key pushback is that Senko has not set the lower limit to achieve two-thirds voting rights. However, tendering by the second-largest shareholder will meet the lower limit. 

• 12mos ago the FT had an article suggesting PE might launch a bid foe Fujitec Co Ltd (6406 JP). 9mos later, EQT did at the same price as 9mos earlier. 
• There were some suggestions the deal would see an overbid. That was quashed early. It never traded through terms early on.
• This looks like a done deal to me. I think this sails through by year-end.

• Human Made (456A JP) aims to raise around US$116m in its Japan IPO.
• Human Made Inc. is a Japan-based apparel and lifestyle company. Its business model centers on producing high-value, limited-supply apparel and goods.
• In our previous note, we looked at its past performance. In this note, we will talk about valuations.

• Towa holds a dominant global market share in semiconductor molding equipment, a critical step in the chip manufacturing process. Its technological leadership, particularly in compression molding for high-end chips, positions it to capitalize on long-term growth trends.
• The company is a key beneficiary of the secular growth in artificial intelligence (AI), high-performance computing (HPC), and electric vehicles (EVs). These applications require advanced semiconductor packaging, driving demand for Towa’s specialized equipment.
• Financial performance has been robust, with significant revenue and operating profit growth. The company has a long-term vision, “TOWA Vision 2032,”targeting substantial sales growth and improved profitability, supported by strategic investments in R&D and production capacity.

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• ASICS is demonstrating exceptional growth, driven by market share gains in its core Performance Running segment and the rapid expansion of its high-margin Lifestyle brands, Onitsuka Tiger and SportStyle.
• The company’s financial performance is robust, characterized by seven consecutive quarters of double-digit revenue growth, significant margin expansion, and upward revisions to profit guidance.
• Future growth is contingent on successful penetration of the large but historically underdeveloped North American and Asian markets, alongside continued product innovation and expansion of its digital, direct-to-consumer channels.

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• Star Mica is a specialized real estate company in Japan with a unique business model focused on acquiring, renovating, and reselling used condominiums, a niche market with significant growth potential due to Japan’s maturing housing market.
• The company has demonstrated a solid track record of revenue growth and profitability, supported by a strong position in the pre-owned condominium market and a focus on value-added renovations.
• Future growth is expected to be driven by the increasing demand for affordable and renovated housing, favorable demographic shifts towards urban living, and the company’s strategic initiatives to expand its portfolio and enhance operational efficiency.

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• Freee reported 1QFY06/2026 results today. 1Q revenues increased 32.1% YoY to ¥9.7bn with an Adj. OPM of ¥690m (vs ¥480m in 1QFY0/2025). Both revenue and GAAP OP beat consensus.
• Freee KK (4478 JP) ’s shares had a sell-off following its 4QFY06/2025 earnings announcement which saw the company breaking away from its recent trend of consecutive quarterly operating profits.
• As we highlighted in our previous insight, 4Q decline was only a temporary setback as the company’s profitability has bounced back and we expect earnings momentum to continue.

• In Q3 FY12/25, revenue reached JPY4.5bn, with Bitcoin-related business contributing JPY4.2bn and Hotel business JPY203mn.
• Operating profit was JPY2.7bn, driven by JPY3.3bn from Bitcoin-related business and JPY104mn from Hotel business.
• Recurring profit was JPY23.2bn, significantly improved from a JPY312mn loss in cumulative Q3 FY12/24.

• Sales reached JPY26.2bn (+0.2% YoY), with operating profit at JPY1.4bn (+16.0% YoY), and net income JPY844mn (+18.2% YoY).
• Domestic sales were stable, with increased average eyeglass prices, but unit sales declined due to cost-conscious consumer behavior.
• Overseas sales were affected by the China subsidiary’s decline, despite improved profitability from closing unprofitable stores.