Rakuten, Inc. (hereafter “the Company”) announces that the company has made a resolution at its Board of Directors meeting held today about succession of the domestic MVNO business (except for part of the business*1) that Plus One Marketing Co., Ltd (hereafter “POM”) operates. Since this absorption split corresponds to simplified absorption split to which the provision of Article 796, Paragraph 2 of the Companies Act applies, the disclosure of certain items and details has been omitted from this announcement.
1. Purpose of the company split
Since the start of Rakuten Mobile services as an MVNO in October 2014, Rakuten Group, by utilizing our ecosystem, has expanded the customer base, providing a full line-up of handsets, in addition to providing attractive rate plans and services with a focus on Super-Hodai, aggressive store development, and collaboration with group services such as the point program, Rakuten Ichiba and Rakuten Card.
POM has expanded into two areas, the FREETEL mobile handset business and an MVNO business. Amongst them, the mobile handset business, whilst being high quality, by offering global standard prices has also expanded into the North America, South America, Asia and Africa markets.
To realize the expansion of business scale in the domestic MVNO market in the future, the Company decided on a company split of POM for the succession of its MVNO business, including POM users. Following the reorganization, the Company and POM will continue to engage in collaborative efforts to review business synergies between the two companies
*1 Part of the telecommunications business (freetel mobile (FRIMOBA) branded telecommunications business, prepaid SIM business) and some services incidental to the telecommunications business are not included in this succession.