Aeon launches tender offer for Tsuruha, eyes drugstore dominance

Aeon Co., Ltd. initiated a tender offer for Tsuruha Holdings Inc. at JPY 2,900 per share, aiming to make Tsuruha a consolidated subsidiary. This follows a capital and business alliance agreement signed on April 11, 2025, with Tsuruha and Welcia Holdings. Aeon currently holds a 41.38% ownership stake in Tsuruha, which is set to increase to 50.66% after the tender offer, with Tsuruha remaining listed on the Tokyo Stock Exchange Prime Market. The tender offer period is from December 3, 2025, to January 6, 2026.

This strategic move is expected to enhance corporate value by maximizing management resources across the Aeon, Tsuruha, and Welcia groups. Synergies are anticipated in store development, overseas expansion, product procurement, cost reduction through joint electricity procurement and logistics optimization, and the acceleration of private label product development. Tsuruha's Board of Directors expressed support for the tender offer and the continued listing, leaving the decision to its shareholders.

The tender offer price of JPY 2,900 represents a 5.69% premium over Tsuruha's closing price of JPY 2,744.0 on December 1, 2025. Regulatory clearances from the Japan Fair Trade Commission and the Vietnam Competition Commission were obtained by July 30, 2025.