Asics announces plans to spin off its premium Onitsuka Tiger

Asics announces plans to spin off its premium Onitsuka Tiger

Asics has announced plans to spin off its premium Onitsuka Tiger business in an effort to accelerate decision-making at the brand, which has become a major profit driver amid a tourism boom and rising demand for its retro-inspired sports footwear.

Under the proposed restructuring, the nearly 80-year-old Onitsuka Tiger business will be transferred to OT Group, a wholly owned subsidiary, through a company split that will take effect on January 1. Speaking at a press conference, Asics CEO Yasuhito Hirota said there are no plans to list OT Group publicly.

Strong sales growth at Onitsuka Tiger has helped Asics achieve record profits for four consecutive years. Shares of the company, which competes with brands such as Nike, Adidas, and Puma, have risen approximately sevenfold over the past five years, giving it a market capitalization of around US$20 billion.