News Release
Cool Japan Fund Inc.
Tokyo, June 20, 2016

Investing in the Platform of Japanese F&B and Retail Expansion in the Middle East
Cool Japan Fund (CJF) is pleased to announce the establishment of a platform to support the expansionof Japanese F&B (food and beverage) and retail companies to the Middle East. CJF is investing 10
million AED (*1) to launch a joint-venture, Cipher Nippon Investment L.L.C. (Cipher Nippon), in
United Arab Emirates (UAE) together with Cipher Investment L.L.C. (Cipher).
With high entry barriers, Japanese companies, especially in the F&B and retail industry, have been
facing difficulties starting business in the Middle East. However, with extensive knowledge of local
business and a wide network with governments and influential conglomerates in the region, this strong
partnership between CJF and Cipher will now help Japanese companies enter the Gulf CorporationCounsel (GCC) countries (*2) and North Africa (MENA) region. Starting from UAE, the region willsoon be able to sample authentic Japanese food. Those Japanese companies are expected to become
pioneers to the region.
The first brands to be made available to the region from this platform are Tsukiji Gindaco and Gin
no an (Croissant Taiyaki), the Takoyaki and Taiyaki brands of HOTLAND Co., LTD. (Hotland).
With this platform, CJF anticipates that attractive Japanese food and other products will be spreadthroughout the region and people’s familiarity with the rich Japanese culture will increase.
（*1）AED：UAE dirham, 1 AED = 28.48 JPY (rate as of June 20, 2016)（*2）Gulf Corporation Counsel countries: Saudi Arabia, UAE, Bahrain, Oman, Qatar, Kuwait

With its growing young and multicultural population, its fundamental position as a popular tourist
destination as well as an international hub for businesses, and a number of investment projects going
forward in anticipation of EXPO 2020, the F&B market in UAE has been showing strong growth.
International fast food and casual dining restaurants are successfully making inroads into the UAEmarket.

Inquiries regarding this document:
Cool Japan Fund (Yuge/Okuyama, PR) Tel: 03-6406-7500

Although globally renowned fast food restaurants can be found in every corner of the market, theexistence of unique Japanese F&B brands is still very limited. Although one may find the famous“sushi rolls”, the broad variety of authentic Japanese food is not readily available. Japanese companies
usually find that the barrier to entering the market is very high, with challenges such as adjusting tohalal, differences in business practices and legislative systems, and restrictions on foreign investment.
To overcome those obstacles, it is necessary to build partnerships with local companies.
CJF is establishing a partnership with Cipher by investing 10 million AED in a joint-venture, Cipher
Nippon. Through this solid partnership, CJF seeks opportunities to support Japanese companies indealing with the obstacles and advancing into the Middle East market. Cipher brings to the partnership
its extensive knowledge of local business and a wide network with the governments and influential
conglomerates.
Cipher Nippon will be entering into alliances, including franchising agreements, with Japanesecompanies who are eager to enter the region, and it will develop chain operations of those Japanesebrands throughout the region. Cipher Nippon will take responsibility for A-to-Z store management,from finding store locations, brand promotion, daily operation, to hiring and training employees. Oncethe brands are widely recognized in UAE, Cipher Nippon aims to expand into other GCC countries
and the wider MENA.
The first Japanese company to enter the market on this platform will be Hotland, the operator ofTsukiji Gindaco and Gin no an (Croissant Taiyaki), the largest Takoyaki and Taiyaki brand chains inJapan. Cipher Nippon will be the franchisee of Hotland and will open stores in the region. This will be
Hotland’s first entry to the Middle East market. Cipher Nippon is currently negotiating with secondand subsequent companies.
Cipher has already started importing and distributing Japanese wagyu to UAE. Under this strong
partnership with CJF, Cipher Nippon has plans to further expand the trading business of Japanesewagyu.
Beyond the F&B industry, Cipher Nippon is seeking alliances with Japanese retail companies in
sectors such as cosmetics and merchandising goods. It aims to become a platform for all Japanese
F&B and retail companies looking to advance into the Middle East.

Inquiries regarding this document:
Cool Japan Fund (Yuge/Okuyama, PR) Tel: 03-6406-7500

With this initiative, CJF supports the entry of Japanese F&B and retail companies into the MENA
market and helps them become pioneers in the region. It also anticipates that attractive Japanese foods
and products will be spread throughout the region and that people’s familiarity with the rich Japaneserich food culture will increase.

[Cipher Investment L.L.C.]
Date of Establishment

April 2011

Place of Establishment

Dubai, UAE

CEO

Fahad Al Gurg

Business Description

Investment, Advisory, Trading[Cipher Nippon Investment L.L.C.]
Date of Establishment

March 2014

Place of Establishment

Dubai, UAE

CEOFahad Al Gurg

Business Description

Import and Sales of Japanese food and products
Store operation of Japanese F&B and retail
Advisory on F&BAchievement

Import and sales Japanese Wagyu[HOTLAND Co., LTD.]
Date of Establishment

June 1991

Place of Establishment

Tokyo, Japan

CEO

Morio SaseBusiness Description

Direct management, contract operations and development offranchises in Japan and overseas of Tsukiji Gindaco and otherbrands

Webpage

http://www.hotland.co.jp/Inquiries regarding this document:
Cool Japan Fund (Yuge/Okuyama, PR) Tel: 03-6406-7500