Japan Foods in regional tie-up with Minor Singapore
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Japan Foods has entered a joint venture with Minor Singapore to support each other’s operations in Japan, Thailand and China. Japan Foods is to operate the partners’ Thai restaurants in Japan and support Japanese cuisine operations. Minor Singapore will meanwhile run Japanese outlets in Thailand and China, supporting the preparation of Thai cuisine.
The JV is being funded by a combined shareholder loan of $2.3 million to be disbursed equally for working capital. Japan Foods will fund its half of the loan with internal cash resources.
Japan Foods executive chairman and CEO Takahashi Kenichi said he believes the expanded network will “make us more attractive as a franchise partner to Japanese brand owners who may be looking to expand beyond their local market”.
Minor Singapore executive chairman and CEO Dellen Soh said the partnering firms “share many synergies, including strong brand portfolios and good operating track records”.
Questions & Answers
Q.What is the primary purpose of the joint venture between Japan Foods and Minor Singapore?
What is the primary purpose of the joint venture between Japan Foods and Minor Singapore?
The joint venture aims to support each other's restaurant operations across Japan, Thailand, and China. This includes Japan Foods managing Thai restaurants in Japan and Minor Singapore running Japanese outlets in Thailand and China.
Q.How will Japan Foods fund its contribution to the joint venture's initial capital?
How will Japan Foods fund its contribution to the joint venture's initial capital?
Japan Foods will fund its share of the combined shareholder loan, which totals $2.3 million, using its existing internal cash resources. This loan is intended for working capital for the new venture.
Q.What does Japan Foods' CEO hope to achieve through this expanded network?
What does Japan Foods' CEO hope to achieve through this expanded network?
Japan Foods' executive chairman and CEO, Takahashi Kenichi, believes the expanded network will enhance their appeal as a franchise partner for Japanese brand owners looking to grow beyond their home market.
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