Expert on Japan Retail and Consumer Markets, JapanConsuming

Michael Causton

Expert on Japan Retail and Consumer Markets

Real Insight on Japanese Consumer Markets

JapanConsuming

JapanConsuming is a specialist research firm producing intelligence on Japanese retail and consumer markets. Founded in 2000, JapanConsuming has become the leading provider of insights on Japanese retailers and consumer trends to retailers, brands, government agencies and investors. As well as a highly regarded monthly report on the market, JapanConsuming produces in-depth reports on retail sectors, seminars on key trends and telephone consulting to investors on trends and retailers.

JapanConsuming was founded by Michael Causton and Roy Larke. 

Event-Driven

<ul>
<li>KDDI's agreement with Lawson and Mitsubishi to make a tender offer for the convenience store chain is a game-changer for what has become a slow growth convenience store sector.</li>
<li>There are myriad potential synergies across e-commerce, new store types and also the promising new revenue stream of retail media. Lawson may be worth more than KDDI's offer suggests.</li>
<li>And while Lawson may be behind Seven Eleven and Familymart, on some KPIs, like HQ revenues, it is No. 1 and also matches Seven Eleven on same-store sales.</li>
</ul>


KDDI's agreement with Lawson and Mitsubishi to make a tender offer for the convenience store chain is a game-changer for what has become a slow growth convenience store sector.
There are myriad potential synergies across e-commerce, new store types and also the promising new revenue stream of retail media. Lawson may be worth more than KDDI's offer suggests.
And while Lawson may be behind Seven Eleven and Familymart, on some KPIs, like HQ revenues, it is No. 1 and also matches Seven Eleven on same-store sales.


Lawson & KDDI: Not Just Because Japanese E-Commerce Is an Omnichannel Model

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

<ul>
<li>Today, just before the close, the Nikkei sprung a headline saying <a href="https://www.smartkarma.com/entities/kddi-corp" target="_blank" data-smartkarma-citation="entities:639:1" rel="noopener">KDDI Corp (9433 JP)</a> would take over <a href="https://www.smartkarma.com/entities/lawson-inc" target="_blank" data-smartkarma-citation="entities:1040:1" rel="noopener">Lawson Inc (2651 JP)</a>. The stock immediately headed to limit up. </li>
<li>Post-Close, details emerged. KDDI will buy the 50% that MitCorp does not own, this will become a 50/50 JV. TOB launch at ¥10,360 will be in April. Squeezeout in September.</li>
<li>This appears to be the Next Step in Lawson's Big Boots Adventure. The premium is too light. The price is too low. And that is not counting the synergies.</li>
</ul>


Today, just before the close, the Nikkei sprung a headline saying KDDI Corp (9433 JP) would take over Lawson Inc (2651 JP). The stock immediately headed to limit up. 
Post-Close, details emerged. KDDI will buy the 50% that MitCorp does not own, this will become a 50/50 JV. TOB launch at ¥10,360 will be in April. Squeezeout in September.
This appears to be the Next Step in Lawson's Big Boots Adventure. The premium is too light. The price is too low. And that is not counting the synergies.


The Next Step in Lawson's Big Boots Adventure - KDDI and MitCorp to Take It Private

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/lawson-inc" target="_blank" data-smartkarma-citation="entities:1040:1" rel="noopener">Lawson Inc (2651 JP)</a> has recommended a pre-conditional tender offer from <a href="https://www.smartkarma.com/entities/kddi-corp" target="_blank" data-smartkarma-citation="entities:639:1" rel="noopener">KDDI Corp (9433 JP)</a> at JPY10,360 per share, an 18.8% premium to the undisturbed (5 February). </li>
<li>The pre-conditions relate to regulatory approvals in Japan, China, South Korea, and the EU. The offer is expected to start in April, suggesting no significant issues, particularly with SAMR approval.</li>
<li>Based on the irrevocables, the minimum acceptance condition requires a 30.2% minority acceptance rate, achievable as the offer represents an all-time high. </li>
</ul>



Lawson Inc (2651 JP) has recommended a pre-conditional tender offer from KDDI Corp (9433 JP) at JPY10,360 per share, an 18.8% premium to the undisturbed (5 February). 
The pre-conditions relate to regulatory approvals in Japan, China, South Korea, and the EU. The offer is expected to start in April, suggesting no significant issues, particularly with SAMR approval.
Based on the irrevocables, the minimum acceptance condition requires a 30.2% minority acceptance rate, achievable as the offer represents an all-time high. 


Lawson (2651 JP): KDDI Corp (9433 JP) Pre-Conditional Tender Offer at JPY10,360

Equity Bottom-Up

<ul>
<li>The almost viral popularity of Familymart’s line of basic clothing items continues to grow and shows the real potential for convenience stores to diversify and adapt. </li>
<li>Backed by Itochu, Familymart has expanded the product range and added new, limited edition items and brand collaborations, creating a success story that Seven Eleven may find hard to emulate.</li>
<li>Lawson, however, is controlled by Mitsubishi Corp which happens to have a clothing production arm that was behind the early success of Uniqlo and Adastria.</li>
</ul>


The almost viral popularity of Familymart’s line of basic clothing items continues to grow and shows the real potential for convenience stores to diversify and adapt. 
Backed by Itochu, Familymart has expanded the product range and added new, limited edition items and brand collaborations, creating a success story that Seven Eleven may find hard to emulate.
Lawson, however, is controlled by Mitsubishi Corp which happens to have a clothing production arm that was behind the early success of Uniqlo and Adastria.


Convenience Wear: Familymart Competes with Uniqlo in Basics

Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/lawson-inc" target="_blank" data-smartkarma-citation="entities:1040:1" rel="noopener">Lawson Inc (2651 JP)</a> has confirmed it will list its upscale supermarket subsidiary, Seijo Ishii early next year.</li>
<li>Seijo leads in premium supermarket retailing and is growing as fast as the wealth market does, with plenty of room left to expand.</li>
<li>Seijo Ishii is now building its own production and import capabilities to increase originality and could begin to challenge even some of their larger rivals.</li>
</ul>



Lawson Inc (2651 JP) has confirmed it will list its upscale supermarket subsidiary, Seijo Ishii early next year.
Seijo leads in premium supermarket retailing and is growing as fast as the wealth market does, with plenty of room left to expand.
Seijo Ishii is now building its own production and import capabilities to increase originality and could begin to challenge even some of their larger rivals.


Japan

LAWSON, INC. operates a chain of convenience stores in Japan. The Company sells a variety of products including fast food, beverages, snacks, magazines, newspapers, and sundry goods.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Lawson Inc (2651 JP)

Lawson & KDDI: Not Just Because Japanese E-Commerce Is an Omnichannel Model

KDDI's offer with Lawson and Mitsubishi is a game-changer, including in e-commerce and retail media. Lawson's value may exceed the offer, as it...

Michael Causton

The Next Step in Lawson's Big Boots Adventure - KDDI and MitCorp to Take It Private

KDDI has announced a deal to buy out the remainder of the 50% not owned by MitCorp. They will split the company 50/50 going forward. Small premium....

Travis Lundy

Lawson (2651 JP): KDDI Corp (9433 JP) Pre-Conditional Tender Offer at JPY10,360

The offer is expected to start in April. Based on the irrevocables, the minimum acceptance condition requires a 30.2% minority acceptance rate,...

Arun George

Convenience Wear: Familymart Competes with Uniqlo in Basics

Familymart is successfully diversifying through clothing, a hit line that Seven Eleven may struggle to replicate. Lawson, backed by Mitsubishi...

Michael Causton

Lawson Confirms Seijo Ishii IPO

Lawson plans to list its upscale supermarket subsidiary Seijo Ishii. The latter is one of the best supermarket operators in the country and is...

Michael Causton

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Lawson & KDDI: Not Just Because Japanese E-Commerce Is an Omnichannel Model

​KDDI's offer with Lawson and Mitsubishi is a game-changer, including in e-commerce and retail media. Lawson's value may exceed the offer, as it...

Michael Causton

The Next Step in Lawson's Big Boots Adventure - KDDI and MitCorp to Take It Private

KDDI has announced a deal to buy out the remainder of the 50% not owned by MitCorp. They will split the company 50/50 going forward. Small premium....

Travis Lundy

Lawson (2651 JP): KDDI Corp (9433 JP) Pre-Conditional Tender Offer at JPY10,360

The offer is expected to start in April. Based on the irrevocables, the minimum acceptance condition requires a 30.2% minority acceptance rate,...

Arun George

Convenience Wear: Familymart Competes with Uniqlo in Basics

Familymart is successfully diversifying through clothing, a hit line that Seven Eleven may struggle to replicate. Lawson, backed by Mitsubishi...

Michael Causton

Lawson Confirms Seijo Ishii IPO

Lawson plans to list its upscale supermarket subsidiary Seijo Ishii. The latter is one of the best supermarket operators in the country and is...

Michael Causton

KDDI's offer with Lawson and Mitsubishi is a game-changer, including in e-commerce and retail media. Lawson's value may exceed the offer, as it...