World and TSI Holdings to merge, creating Japan's third-largest apparel firm

• World and TSI Holdings will merge to create Infinity United.
• The new holding company, Infinity United, will be established on March 1, 2027.
• The combined sales forecast for the year ending February 2027 is 500 billion yen ($3.16 billion).
• The combined operating profit forecast is 26 billion yen.

Major Japanese apparel companies World and TSI Holdings announced on Wednesday their intention to merge operations, aiming to reduce costs and adapt to a shrinking domestic market characterized by a declining and aging population. A new holding company, Infinity United, is slated to be established on March 1, 2027, under which both World and TSI Holdings will operate as subsidiaries.

For the fiscal year ending February 2027, the combined sales forecast for the two companies is 500 billion yen ($3.16 billion), with total operating profits projected at 26 billion yen. This strategic move seeks to bolster their position in an increasingly competitive industry.

In a similar past merger, Sanei International and Tokyo Style planned to merge in 2011 to form TSI Holdings, aiming to become Japan's third-largest clothing manufacturer. Sanei International's annual sales were reported at 100.33 billion yen ($1.23 billion), while Tokyo Style's were 52.2 billion yen ($637.77 million) at that time. The former chairman of Sanei International's board, Masahiko Miyake, was set to become chairman of TSI Holdings, with Tokyo Style president Yoshiki Nakajima slated to become president.