Japanese apparel companies World Co. and TSI Holdings have agreed to merge under a new joint holding company, Infinity United, creating the country's third-largest fashion group by sales.
Why World Co. is buying TSI Holdings
The companies said they face oversupply in the domestic market, rising costs and competition from global SPA retailers, and that their brands and sales channels overlap little. They expect savings from shared IT and logistics infrastructure, combined customer data for digital marketing, and the pooling of operating know-how.
Deal terms and financing
World shareholders will receive one Infinity United share for each share held and TSI shareholders 0.8 shares. World reported revenue of ¥284.0bn and TSI ¥167.0bn in the year to February 2026. TSI chief executive Takeshi Shimoji will become chairman and World president Nobuteru Suzuki will become president of the holding company.
Regulatory approvals and timing
The integration requires approval at extraordinary shareholder meetings of both companies on 24 December 2026 and from the relevant authorities. Both companies are due to delist on 25 February 2027, with Infinity United listing on the Tokyo Stock Exchange Prime market on 1 March 2027.
Market context
Talks began around June 2026, according to WWD Japan. The combined group would rank behind Fast Retailing and Shimamura by sales.
