SoftBank affiliate LY Group to consolidate LINE MAN operations

SoftBank Group Corp. announced on September 11, 2025, that its subsidiary, LY Corporation, will make LINE MAN CORPORATION PTE. (LMWN) a consolidated subsidiary. This move will grant LY substantial control over LMWN, as well as its subsidiaries DECACORN CO., LTD. and LINE MAN (THAILAND) COMPANY LIMITED. These three companies are expected to be classified as specified subsidiaries of SoftBank Group. The consolidation aims to strengthen collaboration within the on-demand services sector, primarily food delivery and digital solutions for merchants in Thailand.

The transaction involves LY's subsidiary, LINE SOUTHEAST ASIA CORP. PTE. (LSEA), acquiring LMWN shares from Apfarm Investment Pte Ltd and Gamnat Pte. Ltd., agreeing to an amended shareholders' agreement, and receiving a comprehensive proxy for voting rights from MIRAI FUND LIMITED LIABILITY PARTNERSHIP. Prior to the share acquisition, LY held 50,186,038 shares (41.8% voting rights) in LMWN. An initial acquisition of 9,842,200 shares from Apfarm (acquisition price: $103 million) will increase LY's holding to 60,028,238 shares (49.9% voting rights). Further acquisitions and a capital increase totaling $219 million are planned by December 2025, which would bring SoftBank Group's indirect ownership to 80,969,111 shares (61.1% voting rights) in LMWN.

LMWN reported 71,316 million yen in revenue and an operating loss of 3,480 million yen for the fiscal year ended December 2024. DECACORN, a 100% subsidiary of LMWN, showed 0 yen in revenue and an operating loss of 12 yen for the same period. LINE MAN (THAILAND), also 100% owned by DECACORN, reported 76,275 million yen in revenue and an operating loss of 1,266 million yen for December 2024. SoftBank Group expects to record a gain on remeasurement relating to business combinations in its consolidated financial results for the fiscal year ending March 2026 as a result of this consolidation.