In a recent announcement, Dentsu Research Institute, located in Minato City, Tokyo, has expressed its endorsement of the upcoming tender offer initiated by Itochu Corporation. The offer is set to be discussed in a board meeting scheduled for August 28, 2026, during which the company will officially recommend shareholders to participate in the buyback of ordinary shares. The tender is expected to be initiated in early November 2026, subject to obtaining necessary regulatory approvals.
Dentsu Research, established in 1975 as a joint venture with General Electric, has positioned itself as a pivotal player in the areas of digital transformation and business transformation within the Dentsu Group. Under its corporate vision of 'HUMANOLOGY for the future,' the Institute is committed to realizing its long-term management goals encapsulated in 'Vision 2030,' targeting revenue of 300 billion yen and an operating profit margin of 20%.
This tender offer has significant implications for the company's future. If successful, Dentsu Research's shares will meet the delisting criteria stipulated by the Tokyo Stock Exchange and will transition into a joint venture between Dentsu Group and Itochu Group. In conjunction with this, Dentsu Research plans to enter into a business partnership with Itochu Tech Solutions, which is central to the latter's digital business strategy. This collaboration aims to leverage the complementary strengths of both entities to foster new value creation that will contribute to the sustainable development of businesses and society at large.
The strategic rationale behind this initiative stems from the belief that enhancing corporate value and competitiveness through synergies with Itochu Group presents the best path forward. By integrating Dentsu's consulting capabilities with Itochu's business foundation and CTC's IT infrastructure strengths, the companies aim to address the challenges faced by enterprises and communities through innovative technological solutions.
Moreover, Dentsu Research plans to consolidate its AI solution development capabilities through the newly established AI Development Center, promoting cutting-edge research and commercialization of technologies that can drive further growth. Expected synergies from this initiative include expanded service offerings through cross-selling with Itochu Group companies, access to IT investment demands within the group to unlock new business opportunities, and facilitating inorganic growth through mergers and acquisitions.
As a testament to their commitment, Dentsu Group intends to maintain its current shareholding in Dentsu Research without participating in the tender offer. For more information regarding this tender offer, stakeholders can access detailed disclosures through the respective official channels of both Dentsu Research and Itochu Corporation.
Dentsu Research Institute is dedicated to fostering a better society by closely engaging with businesses, governmental agencies, local authorities, and the community. By implementing technology-driven solutions and advocating for social challenges, the Institute aims to continue pushing the boundaries of innovation through collaborative efforts. Emphasizing 'X Innovation' across various domains, Dentsu Research remains on a trajectory to create new value through the combined strengths of humanity and technology, paving the way for a brighter future.