Fast Retailing Co., Ltd. and Mitsubishi Corporation have concluded an agreement to establish a joint venture company with the aim of developing UNIQLO's retail business in the Republic of Indonesia.
Ever since opening its first store in the Asia region in 2002, UNIQLO has launched retail operations in China, Hong Kong, Singapore, Taiwan, Malaysia, Thailand and the Philippines. As of end January 2013 the company has 338 UNIQLO stores in Asia. Mitsubishi Corporation began operating in Indonesia in 1954. Currently the company has investments in 43 different businesses in a number of industries, including energy, automobile and chemical.
Fast Retailing and Mitsubishi Corporation established a joint venture company in 2011 for the purpose of launching UNIQLO retail operations in Thailand. The UNIQLO business in Thailand has grown to 6 stores, as of the end of January 2013, and it is progressing according to plan.
Through the creation of the latest joint venture between Fast Retailing and Mitsubishi Corporation, the two companies will leverage their combined expertise to open the first UNIQLO store in Indonesia in summer 2013. The joint venture company aims to expand its business in this market and open more stores in the future.
The impact, if any, of this development on Fast Retailing's consolidated and nonconsolidated results for the fiscal year ending August 2013 is expected to be minimal.