TOKYO, Sept 1 — Japan’s largest curry rice restaurant chain, CoCo Ichibanya, could be sold after its parent company said it was considering options for the business, sending shares in its operator sharply higher.
The Japan Times reported that House Foods Group, which owns a 51 per cent stake in Ichibanya, was weighing a potential sale, including the possibility of taking the restaurant chain private.
Shares in Ichibanya jumped 16 per cent in Tokyo after House Foods confirmed the report, giving the company a market value of ¥174.2 billion (RM4.43 billion) as of Monday.
CoCo Ichibanya is known for its thick Japanese curry served with rice and a wide range of customisable toppings, including pork cutlets, cheese, vegetables and fried chicken.
The chain has nearly 1,500 outlets in Japan and overseas, including in the United States, Britain and India.
Analyst Tsutomu Yamada of Mitsubishi UFJ eSmart Securities said a change in majority ownership could provide Ichibanya with an opportunity to enter a new phase of growth.
He said the company would likely attract major buyers, including private equity firms, and estimated that its shares could rise another 30 per cent if a sale goes ahead.
Ichibanya and House Foods confirmed that they were considering various options for the curry business, including privatisation.
Japanese curry became a popular staple because it is affordable, familiar and easily customised, with CoCo Ichibanya offering customers different spice levels and a variety of toppings.
The restaurant’s pork katsu and seafood curries are among its most popular choices, attracting both Japanese office workers and tourists.
Japanese-style curry has also gained international recognition, with Bank of New York Mellon senior strategist Geoff Yu recently using CoCo Ichibanya’s katsu curry as an indicator of purchasing power amid the weak yen.
Yamada said he saw further potential for katsu curry’s distinctive appeal to gain a wider following overseas.
