Press Release

September 1, 2022
JAFCO Group Co., Ltd.

Notice of Business Succession from Weil (brand name: Bachmann)
to portfolio company PAPABUBBLE JAPAN HD
JAFCO Group Co., Ltd. (Headquarters: Minato-ku, Tokyo; Keisuke Miyoshi, President&CEO)
hereby announces that PAPABUBBLE JAPAN HD (hereafter “PAPABUBBLE”), a portfolio
company of JAFCO Group-managed funds (JAFCO SV5 Investment Limited Partnership and
JAFCO SV5-STAR Investment Limited Partnership; hereafter collectively referred to as“JAFCO”), has succeeded the business of Weil (Headquarters: Hiratsuka, Kanagawa Prefecture;
Representative Director: Yoshiko Otani; Brand name: “Bachmann”; hereafter “Bachmann”).

PAPABUBBLE Succeeds Business of Bachmann,
Authentic Swiss Confectionery ShopBusiness portfolio strengthening unshaken by COVID-19

A long-established confectionery shop that conveys the authentic European taste
Bachmann, which has conveyed the authentic European taste in Shonan Hiratsuka for over 45 years,
is the only store outside of Switzerland that has been allowed to share the goodwill of Conditorei
Bachmann, a long-established and popular Swiss bakery founded in 1897.
Its sweets that recreate the authentic European taste have been well received by customers,
especially those who have traveled to Europe, and become very popular to date.
Its main product is Baumkuchen, which has won numerous awards, including a gold medal at theWorld Confectionary Exposition, a DLG gold prize from German Agricultural Society, the firstprize in the Baumkuchen category of BRUTUS’ "handmade souvenir" ranking, and ranked third inthe “NIKKEI Plus 1: Ranking Anything.”
Bachmann also offers a variety of Swiss-German sweets, including Engadiner Nusstorte, which
For more information, please contact
pr@jafco.co.jp, JAFCO Group Co., Ltd.

Press Release

September 1, 2022
JAFCO Group Co., Ltd.

has won a DLG gold prize from German Agricultural Society, and unique Japanese products,
including a black bean pound cake, which is a Kanagawa Prefecture-designated confection, and asable made with rose petals, which has been selected as a recommended tourist souvenir by theJapan Federation of Gifts and Souvenirs.
Bachmann joined the PAPABUBBLE Group to sustain the precious Bachmann brand and allow
Japanese people to continue enjoying its flavor for the next 50 to 100 years.
Three Operational Benefits from Business Succession
With the succession of the Bachmann business, which follows the succession of the Villon andsLier confectionery businesses, the PAPABUBBLE Group will realize the following operational
benefits.
1. A business portfolio resilient to economic ups and downs
The PAPABUBBLE brand, whose main focus has been on gift products and in-store sales at
department stores and large commercial facilities, was hit to a certain extent by the COVID19 pandemic. On the other hand, sales of VILLON and sLier products grew even amid thepandemic due to strong home-consumption demand mainly in residential areas to enjoy“luxury at home.”
With the Bachmann brand, which has acquired deep-rooted popularity in the local Hiratsuka
area, the PAPABUBBLE Group will further enhance its business portfolio capable ofresponding to changes in market conditions stemming from future pandemics and otherunpredictable events.
2. Further improvement of production techniques and training of artisans
Bachmann has a rare hand-baked Baumkuchen production technique. By mutually sharing
production techniques with VILLON, which has joined the PAPABUBBLE Group earlier, theGroup will further improve its confectionery production techniques and develop unrivaled,high-quality products and a group of artisans.
The Group will also boost sales and profitability by expanding its group of artisans andincreasing the production capacity.
3. Stronger marketing and procurement functions
The PAPABUBBLE Group will leverage its expertise in new store development, events,branding, marketing, and e-commerce, which it gained through the operation ofPAPABUBBLE stores, to achieve sales growth of its group brands. It will also pursue thebenefits of cost reduction by integrating procurement functions.
In addition to the above operational benefits, the Group will ensure a workplace where each andevery employee can fully exert one’s ability by implementing job rotation and training of talented
For more information, please contact
pr@jafco.co.jp, JAFCO Group Co., Ltd.

Press Release

September 1, 2022
JAFCO Group Co., Ltd.

artisans, who form the foundation of the confectionery business, and creating stable employment,
and in turn, offer better products and services to its customers.
The PAPABUBBLE Group will continue to actively promote M&A of confectionery brands that itwants to sustain and nurture over 50 to 100 years to come.
About Weil (Bachmann)
Websitehttps://bachmann.jp/ (Japanese only)

Location24-28 Yaezakicho, Hiratsuka, Kanagawa
Conditorei Bachmann was founded in 1976 by the first owner/chef
Takashi Watanabe. It is the only store outside of Switzerland that has
been allowed to share the goodwill of Conditorei Bachmann, a long-Business Description

established popular Swiss bakery founded in 1897. Inheriting therecipes and passion for making sweets that Mr. Watanabe cultivated inEurope, it continues to deliver the taste of European sweets fromShonan Hiratsuka.

About PPPABUBBLE JAPAN HD, PAPABUBBLE JAPAN INC.
Company name

PAPABUBBLE JAPAN HD is a holding company for PAPABUBBLE
JAPAN INC.

Websitehttpｓ://www.papabubble, jp/Location

1-15-13 Arai, Nakano-ku, Tokyo
Founded in Barcelona in 2003. Rapidly expanded its operations to 30

Business Description

cities worldwide through its entertaining and exciting sweets offerings.
It continues to pursue the goal of becoming “the most amusing sweets
store in the world” by creating and transmitting playful sweets.

About JAFCO Group Co., Ltd.
Company name

JAFCO Group Co., Ltd.

Websitehttpｓ://www.jafco.co.jp/english

Location

24F Toranomon Hills Mori Tower, 1-23-1 Toranomon, Minato-ku,
TokyoLargest venture capital firm in Japan with over 1,000 portfolio IPOs.

Business Description

Also experiences of over 20 years in buyout investment and over 30
years in overseas venture investment.

For more information, please contact
pr@jafco.co.jp, JAFCO Group Co., Ltd.