News Releases
Basic Agreement on Merger of Central Finance ブックメーカーjリーグ., Ltd., OMC Card, Inc., and QUOQ Inc. (1/1)
Sumitomo Mitsui Financial Group, Inc.
(Code: 8316)
Sumitomo Mitsui Banking Corporation
Central
Finance ブックメーカーjリーグ., Ltd.
(Code: 8588)
OMC Card, Inc.
(Code: 8258)
QUOQ Inc.
Basic Agreement on Merger
of Central Finance ブックメーカーjリーグ., Ltd., OMC Card, Inc., and QUOQ
Inc.
1. Objectives of ブックメーカーjリーグ
Merger
ブックメーカーjリーグ Japanese credit card market has been steadily
expanding and further growth is expected amid ブックメーカーjリーグ spread of new domains of
settlement, including petty cash settlement. On ブックメーカーjリーグ other hand, under ブックメーカーjリーグ requirement
for development of new technologies and services, such as electronic money, and
for investment in systems that meet more deep, sophisticated and diversified
customers’ needs, and under ブックメーカーjリーグ influence of ブックメーカーjリーグ amendment to ブックメーカーjリーグ Money Lending
Business Law, among other factors, ブックメーカーjリーグ business environment surrounding ブックメーカーjリーグ
industry has been dramatically changing, putting ブックメーカーjリーグ industry at a major
turning point. Furthermore, in view
of ブックメーカーjリーグ proposed revision to ブックメーカーjリーグ Installment Sales Law to reflect ブックメーカーjリーグ trend of
increasing consumer protection, ブックメーカーjリーグ installment credit business also requires
restructuring to establish a new business model.
With these circumstances in mind, CF, OMC and QUOQ
have basically agreed to merge in order to bring into existence one of ブックメーカーjリーグ largest
consumer finance companies in Japan that is focused on ブックメーカーjリーグ credit card and
installment credit businesses. It
will be equipped with expertise and agility through ブックメーカーjリーグ combination and
integration of ブックメーカーjリーグ customer bases, sales power, know-how and other assets of
each company.
CF, based in ブックメーカーjリーグ Chubu area, has a nationwide network
which covers all of
OMC, as a credit card company with its origin in
retail business, has worked on ブックメーカーjリーグ 15-minute immediate card issuance screening,
ブックメーカーjリーグ only service in ブックメーカーjリーグ industry, through ブックメーカーjリーグ viewpoint of a citizen who lives
an ordinary life. In addition, OMC
has recorded best-in-industry card utilization rates by ブックメーカーjリーグ use of advanced
database marketing. With ブックメーカーjリーグ advantage of such unique know-how on membership
solicitation and marketing power, OMC has achieved a top-class frequency of use
and competency of soliciting cardholders.
QUOQ is focused on ブックメーカーjリーグ field of shopping credit, where
it is one of ブックメーカーjリーグ most active service providers in ブックメーカーjリーグ credit sales industry and
is aggressively pursuing its collection agency operations, which have an
industry-leading track record of handling voluminous transactions. Another key business of QUOQ is its
unique petty claims purchasing scheme for a bulk purchase of small accounts
receivables, monthly tuition receivables and similar claims.
While keeping a sense of unity as a member of SMFG
group and at ブックメーカーjリーグ same time maintaining management independence as a listed
corporation, ブックメーカーjリーグ Merged Company will seek to create a people-oriented original
business model with characteristics not seen in other companies and will aim at
maximizing its corporate value through ブックメーカーjリーグ development and furtherance of ブックメーカーjリーグ
above-described strengths of each company, using as driving force ブックメーカーjリーグ synergy
of ブックメーカーjリーグ credit card and installment credit businesses as a result of ブックメーカーjリーグ merger.
Taking into consideration that CF’s core management
bases are located mainly in ブックメーカーjリーグ Tokai area, ブックメーカーjリーグ Merged Company will continue
focusing on that area as one of its key management bases, and seek to build a
close alignment with SMFG’s and SMBC’s marketing strategy for ブックメーカーjリーグ Tokai area.
As announced in another press release separately issued
today with ブックメーカーjリーグ title “Credit Card Business Strategy of Sumitomo
Mitsui FinancialGroup,”SMFG and SMBC
will support the Merger, aimed at establishing the number one credit card
business entity in Japan through establishment of a close partnership between the
Merged Company and Sumitomo Mitsui Card ブックメーカーjリーグ., Ltd. (“SMCC”, President: Koichi
Tsukihara).
2. Outline of ブックメーカーjリーグ Merger
(1) Targeted Date of Merger: April
1, 2009
(2) Surviving Company under ブックメーカーjリーグ Applicable Law: OMC
(3) Location of ブックメーカーjリーグ Registered Head Office of ブックメーカーjリーグ Merged Company:
20-27, Nishiki 3-chome, Naka-ku, Nagoya-shi, Aichi
(4) Other
- Upon
separate consultation, ブックメーカーjリーグ parties will determine ブックメーカーjリーグ trade name, ブックメーカーjリーグ merger
ratio, and capital and representative of ブックメーカーjリーグ Merged Company as well as other
details before ブックメーカーjリーグ execution of ブックメーカーjリーグ merger agreement, which is scheduled to
take place in September 2008.
- ブックメーカーjリーグ
headquarters of ブックメーカーjリーグ new organization will be based in
- ブックメーカーjリーグ parties
have ブックメーカーjリーグ policy of maintaining ブックメーカーjリーグ Merged Company’s listings on ブックメーカーjリーグ First
Section of ブックメーカーjリーグ Tokyo Stock Exchange and ブックメーカーjリーグ First Section of ブックメーカーjリーグ Nagoya Stock
Exchange. Therefore, OMC, ブックメーカーjリーグ
proposed surviving company, aims for listing on ブックメーカーjリーグ First Section of ブックメーカーjリーグ Nagoya
Stock Exchange in February 2009.
- SMFG, SMBC,
CF, OMC and QUOQ intend to increase ブックメーカーjリーグ voting rights by ブックメーカーjリーグ SMFG group in ブックメーカーjリーグ
Merged Company to around ブックメーカーjリーグ 40 percent range, and will determine ブックメーカーjリーグ detailed
method thereafter.
- ブックメーカーjリーグ confirmation
of ブックメーカーjリーグ Merger is subject to approval by resolutions of ブックメーカーjリーグ general meetings of
ブックメーカーjリーグ shareholders, ブックメーカーjリーグ permissions, authorizations, etc. of ブックメーカーjリーグ relevant
authorities as required by law, and ブックメーカーjリーグ necessary consent of related parties.
3. Framework for
Deliberation on Matters to Come
For ブックメーカーjリーグ purpose of expediting ブックメーカーjリーグ consultation process
towards ブックメーカーjリーグ merger, ブックメーカーjリーグ parties will establish a “merger preparatory committee”
jointly chaired by ブックメーカーjリーグ top management of CF, OMC and QUOQ. ブックメーカーjリーグ “merger preparatory committee” and
its subcommittees specialized in such areas as planning, finance, personnel and
systems will proceed with ブックメーカーjリーグ preparations in coordination with promotion of ブックメーカーjリーグ
SMFG group’s credit card strategy.
4. Proposed Schedule
|
September 2008 (target) |
Execution of ブックメーカーjリーグ merger agreement |
|
December 2008 (target) |
Extraordinary meetings of shareholders for approval of ブックメーカーjリーグ merger
agreement |
|
February 2009 (target) |
Listing of OMC on ブックメーカーjリーグ First Section of ブックメーカーjリーグ |
|
April 1, 2009 (target) |
Closing date of ブックメーカーjリーグ Merger |
5. Business Forecasts
(1) SMFG
There will be no revision to ブックメーカーjリーグ business forecast for
ブックメーカーjリーグ fiscal year ending March 2008 in connection with this matter.
(2) CF
There will be no revision to ブックメーカーjリーグ business forecast for
ブックメーカーjリーグ fiscal year ending March 2008 in connection with this matter.
(3) OMC
There will be no revision to ブックメーカーjリーグ business forecast for
ブックメーカーjリーグ fiscal year ending February 2008 in connection with this matter.
6. Corporate Profile of
ブックメーカーjリーグ Three Companies to be Merged
|
|
As of August 31, 2007 |
As of September 30, 2007 |
As of September 30, 2007 |
|
|
Trade Name |
OMC Card, Inc. (Surviving Company) |
Central Finance ブックメーカーjリーグ., Ltd. (Dissolved Company) |
QUOQ Inc. (Dissolved Company) |
|
|
Description of Business |
Credit card business |
Credit card business Shopping credit business Loan business Guarantee business Money collection agency business |
Credit card business Shopping credit business Loan business Credit guarantee business Money collection agency business |
|
|
Date of Incorporation |
September 11, 1950 |
January 28, 1960 |
April 5, 1978 |
|
|
Location of Head Office |
16-4, Konan 2-chome, Minato-ku, |
20-27, Nishiki 3-chome, Naka-ku, Nagoya-shi, Aichi |
Sumitomo Fudosan Mita Twin Buildings West Hall,
5-27, Mita 3-chome, Minato-ku, |
|
|
Name and Title of Representative |
Hiromichi Funabashi Chairman & CEO |
Tatsuo Tsuchikawa President & Director |
Shinpei Nihei President |
|
|
Capital (JPY Million) |
43,343 |
23,254 |
4,750 |
|
|
Total Number of Issued Shares (JPY ’000) |
213,682 |
144,785 |
2,400 |
|
|
Net Assets (JPY Million) |
46,181 (Consolidated) |
69,877 (Consolidated) |
32,386 (Non-Consolidated) |
|
|
Total Assets (JPY Million) |
585,211 (Consolidated) |
1,195,672 (Consolidated) |
865,952 (Non-Consolidated) |
|
|
Fiscal Year End |
End of February |
End of March |
End of March |
|
|
Number of Employees |
1,296 (Consolidated) |
2,415 (Consolidated) |
1,335 (Non-Consolidated) |
|
|
Major Shareholders and Shareholding Ratio |
The Nomura Trust and Banking ブックメーカーjリーグ., Ltd. (trust account) *1 (27.44%) ブックメーカーjリーグ Daiei, Inc. (20.60%) Acom ブックメーカーjリーグ., Ltd. (15.02%) |
Sumitomo Mitsui Banking Corporation (14.29%)
Sumitomo Mitsui Financial Group, Inc. (8.78%)
Mitsui & ブックメーカーjリーグ., Ltd. (8.78%) |
Central Finance ブックメーカーjリーグ., Ltd. (20.00%) Ginsen ブックメーカーjリーグ., Ltd. (17.08%) Sumitomo Mitsui Banking Corporation (11.00%) |
|
|
Main Bank of Account |
SMBC |
SMBC |
SMBC |
|
|
Relationships among ブックメーカーjリーグ Parties |
Capital Relationships |
CF holds 480,000 shares of ブックメーカーjリーグ common stock of QUOQ
(representing 20.0% of ブックメーカーjリーグ total issued shares) . |
||
|
Personnel Relationships |
Three employees of CF have been dispatched to QUOQ. |
|||
|
Business Relationships |
CF and OMC have established a scheme of mutual
complementation to address potential information systems failures. Part of CF’s affiliated card business processing has
been subcontracted to OMC. |
|||
|
Status of Relationship of Related Parties |
QUOQ, which is an affiliate of CF, constitutes a
related party. |
|||
*1 SMBC owns ブックメーカーjリーグ trust beneficial interest
in ブックメーカーjリーグ trust assets composed of ブックメーカーjリーグ 58,633 thousand shares (which represents
27.44% of the total number of the issued shares) held by The Nomura Trust and
Banking ブックメーカーjリーグ., Ltd. (trust account). ブックメーカーjリーグ term of this trust expired on February 8, 2008, and thereupon SMBC
acquired ブックメーカーjリーグ above-mentioned shares constituting ブックメーカーjリーグ trust assets, and
7. Business Results of
ブックメーカーjリーグ Three Companies to be Merged for ブックメーカーjリーグ Latest Three Fiscal Years
|
|
OMC (Consolidated) (Surviving Company) |
||
|
Fiscal Year Ended |
February 2005 |
February 2006 |
February 2007 |
|
Operating Income (JPY Million) |
139,178 |
145,989 |
155,383 |
|
Operating Profit (JPY Million) |
27,739 |
34,886 |
32,740 |
|
Recurring Profit (JPY Million) |
27,900 |
35,572 |
33,292 |
|
Net Profit/Loss (JPY Million) |
15,823 |
18,363 |
13,944 |
|
Net Profit/Loss per Share (JPY) |
74.25 |
85.89 |
65.92 |
|
Annual Dividend per Share (JPY) |
10.0 |
17.5 |
20.0 |
|
Net Assets per Share (JPY) |
264.27 |
312.20 |
357.57 |
|
|
CF (Consolidated) (Dissolved Company) |
||
|
Fiscal Year Ended |
March 2005 |
March 2006 |
March 2007 |
|
Operating Income (JPY Million) |
98,731 |
106,178 |
106,425 |
|
Operating Profit (JPY Million) |
4,527 |
12,871 |
8,491 |
|
Recurring Profit (JPY Million) |
5,021 |
13,402 |
8,888 |
|
Net Profit/Loss (JPY Million) |
3,205 |
303 |
1,837 |
|
Net Profit/Loss per Share (JPY) |
32.97 |
3.02 |
19.12 |
|
Annual Dividend per Share (JPY) |
7.0 |
7.0 |
9.0 |
|
Net Assets per Share (JPY) |
556.61 |
582.77 |
531.64 |
|
|
QUOQ (Non-Consolidated) (Dissolved Company) |
||
|
Fiscal Year Ended |
March 2005 |
March 2006 |
March 2007 |
|
Operating Income (JPY Million) |
72,803 |
67,319 |
62,109 |
|
Operating Profit (JPY Million) |
1,769 |
2,066 |
627 |
|
Recurring Profit (JPY Million) |
2,096 |
2,456 |
1,069 |
|
Net Profit/Loss (JPY Million) |
1,382 |
2,480 |
(21,562) |
|
Net Profit/Loss per Share (JPY) |
719.82 |
1,291.82 |
(11,230.25) |
|
Annual Dividend per Share (JPY) |
50.0 |
50.0 |
50.0 |
|
Net Assets per Share (JPY) |
21,208.33 |
25,283.35 |
13,057.67 |
（Reference Material）
[For
Reference] Other Press Release Issued Today concerning this Matter:
SMFG, SMBC, CF, OMC and SMCC
“Credit Card Business
Strategy of Sumitomo Mitsui Financial Group”
END
