Tokai Watch & Jewelry Acquires Long-Established Watch Parts Trading Company, Expands Industry Foundation by Strengthening After-Sales Service

Tokai Watch & Jewelry Co., Ltd. (Headquarters: Nagoya City, Aichi Prefecture; President & CEO: Tsuguhide Ishiguro), which comprehensively supports customers' beauty from wholesale and retail of watches and jewelry to personal gym operations, announced that it has acquired all shares of M. Matsuda & Co. Ltd. (Headquarters: Osaka City, Osaka Prefecture; Representative Director: Yoichiro Matsuda), a specialized trading company for watch parts and tools, as of April 1, 2026, making it a group company.

■ Inheriting the "Invisible Infrastructure" of Watches — Strengthening Repair and Parts Supply System

Through this M&A, Tokai Watch & Jewelry Co., Ltd. will incorporate the function of supplying parts and tools that support watch after-sales service into its group, in addition to its sales domain, aiming to further strengthen its business foundation.

In recent years, the watch industry has seen an aging of technicians responsible for repair and maintenance, leading to a serious shortage of successors.
Watch repair technicians are generally specialists requiring over 10 years of experience, and the entry of young talent is limited, making the succession of skills and maintenance of the supply system an industry-wide challenge.

In this context, maintaining a stable supply system for essential parts and tools for repair forms the foundation for technicians to acquire and pass on their skills with confidence. In an environment where parts supply is unstable, repairs themselves cannot be completed, potentially leading to the loss of opportunities for skill succession.

M. Matsuda & Co. Ltd., founded in 1928, is a specialized trading company that handles genuine parts for domestic and international watch brands and professional tools, playing a crucial role in the industry.

Through this M&A, Tokai Watch & Jewelry Co., Ltd. will incorporate M. Matsuda & Co. Ltd.'s parts supply network into its group, contributing to the stabilization of the foundation supporting repair and maintenance, and fostering an environment where skill succession can be carried out sustainably.

Background and Purpose of M&A

■ Industry Challenges

In recent years, in addition to changes in the sales market, the importance of parts supply and skill succession supporting repair and maintenance has increased in the watch industry. Particularly in the highly specialized after-sales service domain, the establishment of a stable supply system is required.

M. Matsuda & Co. Ltd. also faced challenges such as the aging of its management and the absence of a successor, despite the current representative having protected the business for many years as the fourth generation.
Under these circumstances, this M&A was executed as a means to reliably pass on the parts supply network and expertise cultivated by the company to the next generation.

■ Purpose of this M&A

This M&A aims to achieve the following:

〇 Strengthening the after-sales service domain

〇 Establishing a stable supply system for parts and tools

〇 Maintaining and developing watch industry technology and infrastructure

〇 Supporting the popularization of watch culture among younger and general audiences

By providing consistent value from sales to after-sales service, we will further promote our philosophy of "popularizing watches and jewelry."

About M. MATSUDA & CO. LTD.

M. Matsuda & Co. Ltd. is a specialized trading company for watch parts and tools headquartered in Osaka.
Since its establishment, it has provided professional-grade products supporting watch repair and maintenance, underpinning the industry's foundation.

【Main Products Handled】

〇 Imported watch genuine parts (Omega, Longines, Rado, etc.)

〇 Domestic watch parts (Citizen, Orient, Ricoh, etc.)

〇 Watch tools and equipment (Meikousha-made, Bergeon-made, etc.)

〇 Watch batteries (Sony, Hitachi Maxell, etc.)

〇 Engraving machines and related materials

Through its long-cultivated expertise and trust, it is highly regarded as an important entity supporting the backbone of the watch industry.

Comment from Tsuguhide Ishiguro, President & CEO of Tokai Watch & Jewelry Co., Ltd.

This M&A is not merely business expansion; it is a decision to connect the foundation of the watch industry to the future.

Watches are not products that are "sold and forgotten"; they are a culture passed down through generations through repair and maintenance. However, currently, the technology and supply systems supporting this culture face a major challenge: a shortage of successors.

The parts supply network and expertise that M. Matsuda & Co. Ltd. has cultivated over many years are truly the "unsung heroes" supporting the industry. We believe it is our mission to pass on this value to the next generation.

Watches are products that gain value through long-term use, and maintaining the after-sales service infrastructure, which is a prerequisite for this, is directly linked to the industry's sustainability.

Tokai Watch & Jewelry Co., Ltd. will connect watch culture to the future as a company that provides not only sales but also the "value of continued use" beyond that.

Future Outlook

We hope that this initiative will also provide an opportunity for younger generations to experience the "value of using things carefully for a long time," leading to the revitalization of Japan's manufacturing culture and economy.

Through this M&A, Tokai Watch & Jewelry Co., Ltd. will promote the construction of a business model that integrates sales, experience, and after-sales service.

Specifically, by leveraging M. Matsuda & Co. Ltd.'s parts supply network and expertise, we will strengthen the support system for businesses involved in repair and maintenance, and work to establish a stable supply base.

Furthermore, in the sale of parts and tools, Tokai Watch & Jewelry Co., Ltd. will utilize its accumulated know-how in e-commerce (online sales) to expand sales channels and improve convenience.

In addition, we aim to build a supply system that extends beyond Japan, with an eye on future expansion into overseas markets.

We will also aim to create new customer experiences that convey the "value of continued use after purchase," in conjunction with the experiential sales and event businesses we have developed so far.

Furthermore, we will strengthen services and information dissemination that align with lifestyles, so that younger generations can feel watches are more accessible.

In the future, we envision building a platform that spans distribution, sales, and after-sales service, and will work to create new value that contributes to the sustainable development of the entire industry.

■ About Tokai Watch & Jewelry Co., Ltd.

Founded in 1957, Tokai Watch & Jewelry Co., Ltd. is one of the few independent comprehensive watch and jewelry wholesalers in Japan. Aichi Prefecture is the birthplace of watches with a history of over 400 years. Our company, headquartered in Nagoya City, the central city of Aichi Prefecture, has a history of over 100 years when counting its predecessor, "Owari Tokei." We handle over 100 watch brands, from domestic to Swiss-made, and also operate direct retail stores. For jewelry, we sell both branded jewelry and original jewelry brands using only high-quality diamonds, continuing to grow with our unique sales and marketing style.

In September 2025, we will also expand into the personal gym business, continuing to evolve as a company that "supports beauty from both inside and out."