Fast Retailing forms joint venture with Shima Seiki

By

Matthieu Guinebault

Translated by
Barbara Santamaria

Published
Oct 30, 2016

Japanese fashion retailer Fast Retailing has announced the creation of Innovation Factory Co., a joint venture with rival company Shima Seiki. The partnership will focus on the development and manufacture of knit products using new knit production technologies.
 

According to the Uniqlo parent company, Shima Seiki is the world’s largest company in the computerized flatbed knitting machine field, and is a pioneer in knitting machine manufacturing.

“Following the establishment of the joint venture, the company will now produce Wholegarment® products for the Fast Retailing Group, principally Uniqlo,” said the business in a statement.

The Y400m joint venture company will be based in Wakayama. Shima Seiki will own 51% of the company and Fast Retailing 49%.

The high street giant increased its net profit by 48% in the year to August 2015 as sales surged by 21,6% to Y1.68 trillion.