Specialty retailer SSI Group has signed a JV agreement with Japan’s Ryohin Keikaku in a bid to boost the Muji household supplies brand in the Philippines.
SSI Group’s board of directors has approved the JV between its wholly owned subsidiary Stores Specialists and RKJ, dubbed Muji Philippines. It is expected to launch on April 1 with the mandate to own and run Muji stores in the Philippines.
SSI Group says the move will enable cost efficiencies.
Stores Specialists owns and runs specialty retailing boutiques for a range of international brands covering luxury, casualwear, fast fashion, footwear, luggage and accessories as well as personal-care brands. RKJ is engaged in the planning, development, procurement, logistics and processing of goods under the brand name Muji, as well as running Muji retail stores and wholesaling Muji goods.
The deal is pegged at P175 million (US$3.5 million), with Store Specialists holding a 51 per cent stake. Store Specialists is investing more than P89.2 million, while RKJ is injecting up to P85.7 million.