Okura Holdings extends maturity date on JPY500m bond
Okura Holdings has reported that it has agreed to extend the maturity of JPY500m bonds from January 31 2022 to January 31 2023.
Japan.- Okura Holdings has further extended the maturity date of a second Series Bond with a principal amount and face value of JPY500m. The move aims to generate foreign exchange earnings and cash flow as its pachinko business continues to suffer from the Covid-19 crisis.
The company closed two pachinko parlours last May and three venues last September due to the crisis in the sector. At the time, Okura Holdings said the closure was to allow a focus on better-performing outlets. The company now has 12 Pachinko Venues, most of them located in Nagasaki Prefecture.
The issuer of the bonds is Sinwa. Okura first subscribed for the bonds in 2018. The company paid 3 per cent interest for the first two years and 4 per cent interest each year thereafter. Okura said it expects to receive JPY20m in interest on both the fourth and fifth interest payment dates.
Okura Holdings announced financial results for the Fiscal Year 2021, reporting that revenue was down 23.1 per cent to JPY5.4bn (UD$48.5m). The company posted a loss of JPY577m (US$5.18m), down from JPY6.3bn (US$56.59m) in the previous fiscal year.
Interest in pachinko games has been declining due to the development of online games. The trend for young people to play mobile games instead of going to a pachinko parlour has been accentuated during increased confinement due to the Covid-19 pandemic.
