Company Overview

1. Company Overview

Innovation Holdings <3484> has transitioned to a holding company system through a company split effective October 1, 2024, changing its business name from Tempo Innovation. The management philosophy states "Contribution Creation - Challenge and Evolution," and the vision aims to "Change the commercial practices of subleasing and create a standard for retail properties." The company engages in the subleasing business of ready-to-use stores for restaurants, real estate sales, and rent guarantee services. It is a comprehensive professional group for restaurant businesses and a pioneer in the restaurant subleasing business.

As of the end of the second quarter (interim period) for the fiscal year ending March 2025, total Assets amount to 14,157 million yen, net assets are 3,456 million yen, shareholder equity is 3,451 million yen, self-financing ratio is 24.4%, and the number of outstanding shares is 17,674,400 shares (including treasury stock of 900,608 shares). The group (following the transition to the holding company system) consists of the holding company itself and three consolidated subsidiaries (Tempo Innovation, Asset Innovation, Safety Innovation).

Crops <9428>, which became the parent company in July 2009, owns 59.51% of the shares (excluding treasury stock, as a percentage of the total number of outstanding shares) as of the end of the second quarter for the fiscal year ending March 2025. While it is a consolidated subsidiary of Crops, there are no significant business transactions, and operational independence is also maintained.

2. History

The company was established in November 2007 as part of the preparatory division of Tempo Innovation Co., Ltd. and acquired some of the restaurant entry and exit support business (such as property introductions for those wishing to open stores, support for opening stores, purchasing store equipment from those wishing to exit, and support for exiting) via a company split from Tempo Innovation Co., Ltd. (hereinafter referred to as the former Tempo Innovation) in December 2007. The former Tempo Innovation was established in October 2001 as a subsidiary of Reins International (the company name at establishment was Reifields Co., Ltd.) for the purpose of managing restaurants and started the restaurant entry and exit support business utilizing ready-to-use store properties (properties with existing fixtures, equipment, furniture, etc.) in April 2005. Therefore, the practical start of the company's business activities is considered to be April 2005.

After changing the business name to Tempo Innovation Co., Ltd. in January 2008, it became a subsidiary of Telewave Co., Ltd. (now I-Flag Co., Ltd.) in May 2008 and then changed its parent company to Crops in July 2009. In June 2011, Yasuo Hara (current position) was appointed as the representative director and president, and Yohei Shimura (current executive director) as managing director, repositioning the business field from service industry support for opening stores to real estate store leasing, designating it as the "second founding period." In May 2013, the business name was changed to Tempo Innovation Co., Ltd., in October 2017 it was newly listed on the Tokyo Stock Exchange (TSE) Mothers market, in October 2018 it changed to the TSE First Section, and in April 2022 it transitioned to the Prime Market following the TSE's market reorganization. Finally, in October 2024, it transitioned to the holding company system and changed its business name.

(Authored by FISCO guest analyst Masanobu Mizuta)