Advantage Advisors has partnered with Sanmarc Holdings to enhance brand standards and improve operational efficiency through strategic investment and digital transformation solutions.

Information on the Target

Advantage Advisors, Inc. (hereinafter referred to as 'the Company') has announced that a special purpose vehicle funded by its AA Fund has agreed to underwrite convertible bonds with stock acquisition rights issued by Sanmarc Holdings, Inc. (hereinafter referred to as 'Sanmarc HD') through third-party allocation. Additionally, the Company has entered into a business partnership agreement with Sanmarc HD to enhance the accuracy of its existing brand outlet standards, develop new brands and business formats (including M&A), reduce indirect costs, improve Quality, Service, and Cleanliness (QSC), and leverage digital transformation solutions to enhance customer attraction and operational efficiency at individual stores, as well as support human resource acquisition.

Industry Overview in Japan

Sanmarc HD operates in the highly competitive Japanese food service industry, offering a wide range of dining experiences through its various brands, including 'Bakery Restaurant Sanmarc', 'Sanmarc Cafe', 'Sushi Restaurant Hakodate Market', and more. The company has seven consolidated subsidiaries and aims to create a comprehensive dining service network across the country.

The food service sector in Japan has faced significant challenges due to shifts in consumer behavior amid the COVID-19 pandemic and the rising competitiveness of the takeout and hom