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TKP eyes support for Otsuka Kagu

Jiji Press TOKYO (Jiji Press) — Meeting room rental service company TKP Corp. has proposed an additional investment to support struggling furniture retailer Otsuka Kagu Ltd., it was learned on Saturday.

TKP is a business tie-up partner and the third-largest shareholder of Otsuka Kagu.

Meanwhile, Tokyo-based major electrics retailer Yodobashi Camera Co. has also emerged as a candidate to support the reconstruction of Otsuka Kagu, informed sources said.

After being tarnished by a founding family feud, Otsuka Kagu is facing difficulties rebuilding its management on its own, increasing the likelihood of the company accepting outside capital for recovery.

TKP has already proposed assistance to Otsuka Kagu, including buying new shares issued through a third-party allotment, according to the sources.

Otsuka Kagu published a comment on Saturday that it “has not made any decision” regarding a capital increase or a tie-up.

TKP, which holds nearly 7 percent of outstanding shares in Otsuka Kagu, has been collaborating with the furniture retailer by utilizing some retail space for events.

The aid proposal came against the background of their cooperative relationship.

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