Japan restaurant chain Ootoya to re-enter China with new Taiwanese partner
TOKYO, NNA – Japanese meal set restaurant chain operator Ootoya Holdings Co. will re-enter mainland China with a new Taiwanese partner as it expands its overseas business, a company director told NNA on Monday.
The Tokyo-based dining chain operator plans to establish a local joint venture in Shanghai this month with Taiwanese food maker DaChan Great Wall Group, said Akihiro Matsuoka, head of Ootoya Holdings’ corporate planning department.
Ootoya Holdings opened its first outlet in China in 2015 through a franchise agreement with Taiwan FamilyMart Co., a subsidiary of Japanese convenience store chain operator FamilyMart Co.
The company operated five restaurants and closed all of them by November 2019, Matsuoka said.
The new joint venture will be capitalized at 10 million yuan ($1.4 million). Ootoya Holdings will have a 20 percent stake, a Shanghai-based wholly owned subsidiary of DaChan will hold 50 percent and the remainder will be held by a wholly owned Shanghai unit of Taiwan FamilyMart, according to Ootoya’s statement on Friday.
The local unit will be a sub-franchisee of the Taiwan-based convenience store operator, the statement said.
Matsuoka said the new entity will tap the dining chain expertise of Dachan’s Shanghai subsidiary, which operates a Japanese pork cutlet restaurant chain “Tonkatsu Shinjuku Saboten” in Beijing, Tianjin and Shanghai in partnership with Green House Foods Co., a Tokyo-based restaurant chain operator.
As of the end of 2019, Ootoya Holdings ran five directly owned outlets in Hong Kong, four in the United States, three in Singapore and two in Vietnam, and also had 49 franchise shops in Thailand, 39 in Taiwan and 13 in Indonesia, the director said.