Fujita Kanko, which operates Washington hotels nationwide, has received capital support of 15 billion yen from a fund operated by a government-affiliated financial institution amid the deterioration of its financial base due to the effects of the new corona virus. Announced that it will make a significant capital reduction to reduce the amount to 100 million yen.

According to the announcement, at the board of directors meeting on the 16th, Fujita Kanko decided to issue non-voting preferred stock and receive capital support of 15 billion yen, with the fund managed by the Development Bank of Japan as the underwriter.

On top of that, we will make a significant capital reduction to reduce the capital of 19.5 billion yen, including the amount of support, to 100 million yen.

By obtaining approval at the extraordinary general meeting of shareholders scheduled to be held in September, the company will "promote a growth strategy with an eye on after-corona with the funds raised and improve its financial position. I want to. "

Fujita Kanko's demand for travel and banquets fell due to the impact of the new corona, and the final profit and loss of the entire group fell into the largest ever deficit last year. , We are rebuilding the deteriorated financial base by reducing the basic salary of all employees.

Companies are considered to be small and medium-sized enterprises when their capital is 100 million yen or less, and are subject to tax incentives. Therefore, it seems that this significant capital reduction is aimed at receiving such measures.