Yoshitsu ADRs Down 18% After Surge, Plans to Acquire Tokyo Lifestyle


By Kathryn Hardison

 

Yoshitsu Co. Ltd.’s American depositary shares fell 18% to $1.88 on Monday after soaring last week on the news that it would acquire Japanese cosmetics retailer Tokyo Lifestyle Ltd.

ADRs of Yoshitsu gained 70% during Friday morning trading after the announcement, and shares ended the day at $2.30, according to FactSet.

Tokyo-based Yoshitsu, a retailer and wholesaler of Japanese beauty and health products, said it entered into a deal with All Seas Global Ltd. on July 20 to buy the Hong Kong-based Tokyo Lifestyles, which imports Japanese beauty and cosmetic products.

The transaction will cost Yoshitsu JPY392 million (US$2.8 million) in cash and is expected to close by the end of July.

 

Write to Kathryn Hardison at kathryn.hardison@wsj.com



      


Source link