World Co., Ltd. Announcement of establishment of joint venture in Thailand

[World Co., Ltd.] Announcement of establishment of joint venture in Thailand ​
World Co., Ltd. Press release: December 11, 2024 Notice of establishment of joint venture in Thailand Ragtag, a used select shop for designer brands ~ Utilizing secondary
distribution know-how to expand globally ~
https://prcdn.freetls.fastly.net/release_image/2439/1378/2439-1378-8df6ef2fa5ede4a15d43486668f982a1-1413×849.jpg World Co., Ltd. (Headquarters: Kobe City, Representative Director and President Executive Officer: Nobuteru Suzuki) announced yesterday that SAHA, a major corporate group in the Kingdom of Thailand (hereinafter referred to as “Thailand”), We have concluded an agreement with GROUP (Bangkok, Thailand, Chairman: Boonsithi Chokwatana, hereinafter referred to as “Saha Group”) to establish a joint venture company for the purpose of developing the “RAGTAG” business in Thailand. We would like to inform you as follows. 1. Background and purpose of
establishing the joint venture “Ragtag”, which will be opened this time, is a select shop developed by World Group’s Tin Pan Alley Co., Ltd., which mainly sells designer brands, casual to high-end brands, bags, shoes, and secondary distribution products such as accessories. With the addition of the recent SDGs perspective to the product lineup demanded by “coveted brands at reasonable prices,” the value of secondary distribution has further increased, and demand is growing not only from domestic customers but also from inbound tourists. The development of “Ragtag” in Thailand began in March of this year with a pop-up store at Central World in Bangkok for about two and a half months, and we were able to gain the possibility of secondary distribution in Thailand. *Pop-up (limited-time store) information is listed on the next page along with images The joint venture partner, Saha Group, is a Thai conglomerate group established in 1942, and is one of the largest companies in Thailand that manufactures,
distributes, and sells a wide range of consumer goods such as cosmetics, clothing, food, and daily necessities. A corporate group. We also have more than 300 affiliated companies in Japan and overseas, and have established business alliances and joint ventures with many major Japanese companies. World and Saha Group established “World Saha Fashion Co., Ltd.” in the spring of 2017 to expand the number of stores for the men’s brand “Takeo Kikuchi.” Seven years after its launch, Takeokikuchi has successfully gained customers locally and is expanding its store openings. By newly developing “Ragtag,” we will be able to capture the needs of the secondary distribution market and customers in Thailand, and with an eye toward future overseas store openings, we will be able to quickly establish a business base in Thailand, which is the fashion hub of the rapidly growing ASEAN market. We aim to establish the following. 2. Local company profile Company name WORLD SAHA (THAILAND) CO., LTD. Head office address: 530 Soi Sathupradit 58, Bangpongpang, Yannawa, Bangkok 10120, Thailand Established December 2024 Representative Hayato Mogi Capital: 90 million Thai baht (including 49% stake in World Co., Ltd.) Business details: Development of reuse business (RAGTAG business) in Thailand 3． Overview of joint venture partner Name SAHA GROUP
http://www.sahagroup.com/ Location: Bangkok, Thailand Representative Chairman: Boonsithi Chokwatana Business details Manufacturing industry, industrial park management, logistics, retail industry, etc. Established 1942 4.Schedule Joint venture contract conclusion date: December 10, 2024 Joint venture establishment date: December 2024 (planned) 5. Future outlook The joint venture to be established is scheduled to become a consolidated subsidiary. Although we expect this matter to have a minor impact on our consolidated business results, we believe that it will contribute to improving our business performance and corporate value over the medium to long term. If there are any matters that should be announced in the future, we will promptly notify you. 6. Reference: About “Ragtag” https://www.ragtag.jp/ “Ragtag” is a used select shop that continues to grow in double digits, backed by the growth of the reuse market and rising inbound demand. We opened our first store in Harajuku, Tokyo in 1985, and currently have 23 stores in Japan. We have a track record of purchasing 700,000 items a year, and the purchased items are collectively managed and sold after undergoing authenticity checks and repairs. Another feature of the company is that it sells products not only in stores but also online, and is able to achieve OMO at an early stage. As for our product lineup, we offer high-quality used items by experienced buyers, and because they allow customers to experience the joy of choosing with peace of mind, we are supported by customers with high fashion sensibilities and have a unique presence in the secondary distribution market. is shown. 7. Reference: About the pop-up held in Thailand this spring https://corp.world.co.jp/news/brand/2024/8330/
https://prcdn.freetls.fastly.net/release_image/2439/1378/2439-1378-aa07501a28fc1decbb004fc6a7cef470-1413×849.jpg
https://prcdn.freetls.fastly.net/release_image/2439/1378/2439-1378-f11a9547fd50d697f0acb198f6fc304b-1254×584.jpg “Ragtag” pop-up store (41 tsubo) opened at Central World for 80 days from Thursday, March 28, 2024 to Saturday, June 15, 2024 Through the pop-up event, we were able to understand the best-selling brands, price ranges, and sizes in Thailand, and also confirmed that the level of customer service that Ragtag excels at is no different from the needs in Japan. In addition, the response on SNS and Instagram Live has been very positive, and we are looking forward to expanding purchases in the future when we strengthen online and OMO as in Japan. Furthermore, we are considering selling not only to locals but also to tourists visiting Thailand. In terms of store design, the stylish and open space that changed the image of secondary distribution attracted a lot of attention. The design of this store was handled by Asplund Co., Ltd., a member of the World Group, which designs interiors for commercial facilities and luxury hotels.