Japanese stationery group Kokuyo has completed the transfer of all shares in Thien Long An Thinh Investment Company (TLAT), giving it an indirect 46.82% stake in Thien Long Group (ticker TLG). This is the first step in a plan to raise its holding in TLG to a maximum of 65.01%, including a public tender offer for shares in the coming period.
The deal roadmap
Kokuyo estimates total investment in the deal at about 27.6 billion yen, or more than US$180 million at the exchange rate at the time of announcement, funded from its own capital. In its Q3 report, the group said the plan is on schedule. Kokuyo expects to make TLG a consolidated subsidiary from 2027, provided its board nominees are approved at a TLG extraordinary shareholders' meeting expected in early December.
A record of keeping local brands
Kokuyo's past deals show it tends to keep the brands of the companies it buys:
- In 2011, through subsidiary Kokuyo S&T, it bought a 50.3% controlling stake in Camlin Limited, an Indian stationery maker founded in 1931. The company was renamed Kokuyo Camlin but kept the Camlin and Camel brands; it now has more than 2,100 products, distribution reaching over 55 million households and 5 factories in India.
- In 2013, Kokuyo bought Riddhi Enterprises for an announced US$8 million; the unit is now the second-largest paper stationery maker and exporter in India.
- In July 2022, Kokuyo took full ownership of HNI Hong Kong (Lamex furniture brand), renaming it Kokuyo Hong Kong while keeping the Lamex brand.
Thien Long Chairman Co Gia Tho has said he hopes Thien Long can become a long-lasting brand like its Japanese partner. He sees the deal as a key step in the group's globalisation strategy, helping TLG learn governance models, upgrade products and expand into ASEAN and other markets, bringing "Made in Vietnam" products to consumers worldwide.
Kokuyo's financial strength
In the first nine months of 2026, Kokuyo posted consolidated revenue of 290.2 billion yen (about US$1.83 billion), up 9%; operating profit of 23.4 billion yen, up nearly 9%; and net profit attributable to parent shareholders of 18.1 billion yen, up 8%. As of 30 September, total assets exceeded 326 billion yen and equity was about 247 billion yen. The group said it is allocating capital to growth investment.
Key takeaways
- Kokuyo indirectly owns 46.82% of TLG and is targeting up to 65.01% via a public tender offer.
- Total planned investment is about 27.6 billion yen; consolidation of TLG is expected from 2027.
- Kokuyo's track record in India and Hong Kong points to keeping local brands.