Advantage Advisors has agreed to invest in Taisei Oncho through newly issued stock acquisition rights to enhance their digital transformation and regional growth strategies.

Information on the Target

Advantage Advisors Inc. (hereinafter referred to as 'the Company') has successfully reached an agreement whereby its subsidiary, AA Small Cap, L.P., a special purpose vehicle largely funded by the Company, will subscribe to newly issued stock acquisition rights by Taisei Oncho Co., Ltd. (hereinafter referred to as 'Taisei Oncho'). This agreement also encompasses a business partnership aimed at accelerating the expansion of functional and regional strategies, addressing social challenges such as labor shortages, and building new business models through digital transformation (hereinafter referred to as 'DX'). Furthermore, the partnership aims to support the establishment of organizational structures and recruitment essential for achieving these goals.

Industry Overview in Japan

Founded in 1941, Taisei Oncho specializes in the design and construction management of air conditioning, plumbing, electrical installation, and general construction projects. The company operates both domestically and internationally, striving to create a sustainable society that considers global environmental concerns, positioning itself as a comprehensive service professional group with sales totaling 58 billion yen and operating income of 1.9 billion yen for the fiscal year ending March 2020.

In Japan, Taisei Oncho has established a strong business foundation in the Kanto, Tohoku, and Kansai regions. However, the company acknowledges that its construction track record is relatively limited in other areas, indicating potential f