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February 06, 2018

Our article was posted in "Nikkei Sangyo Shimbun"



Our article was published in "Nikkei Sangyo Shimbun" on February 6, 2018.

Building facilities management in Southeast Asia
Biken Techno is aiming for a 3 billion yen target
We also do servicing tenancy management

Biken Techno Corporation, a major building management company will expand their overseas business.
We will expand mainly in Southeast Asia including Singapore, providing servicing to local clients, as well as Japanese clients in the retailing and manufacturing industries entering Asia.
We are expanding business by taking advantage of diversifying business models such as medical care and franchise chains of eating and drinking restaurants.

Biken Techno Corporation recently contracted with the Japanese food supermarket "Hokkaido Marche", owned by Don Quijote Holdings Co., Ltd. in the downtown area of Singapore, in January.
Biken Techno Corporation also invested in a food and drink facility "Japan Food Town" where Don Quijote has just opened as a core tenant, andprovides comprehensive management services from building superintendent to tenancy management such as rent and service charge collection.
They established Singapore as the first overseas office after experiencing the East Japan megaquake of 2011.

Since air conditioning is indispensable in Singapore all year around, and due to the legal inspection of the air conditioner, the company started from the maintenance business of the air conditioner. They cultivated and penetrated the local and Japanese companies market and expanded theirbusiness.

The company is seeking a chance to participate in the development project of commercial facilities including Isetan Mitsukoshi Holdings Ltd. aiming for opening in 2020 in the Philippines, under the policy of strengthening cooperation with the public-private fund's Cool Japan Organization.

In Southeast Asia, consciousness about preventive building maintenance differs from Japan customs, and the profitability of building managementbusiness seems to be lower than in Japan.
There were some withdrawal cases among competitors which went ahead in the market.

Biken Techno Corporation is involved in development projects in Southeast Asia in a wide range of business fields including franchise management of restaurants and hotel management.

There are many Japanese companies that expect growth strategies in Asia such as in the retail industry under the current economic growth situation in Southeast Asia.

ITOCHU Corporation invests in a hospital management company belonging to Indonesia's major conglomerate Lippo Group and will accelerate the development of the hospitals business in Asia.

Daily necessities and automobile manufacturers are also expanding local factories, " the more growth, the more demand for us to pick up " said Kajiyama Ryusei ,President, Biken techno Corporation..

Biken Techno Corporation is expected to sales of 30 billion yen in the year ended March 31, 2018. Out of these sales, overseas business is expectedabout 500 million yen, aiming 30 billion yen as soon as possible.

According to the research company, Yano Research Institute Ltd. (Tokyo / Nakano), the domestic building management market will remain flat at 3,880.4 billion yen, with a year-on-year increase of 3.7%.
While it seems difficult to see significant growth in Japan’s domestic market, the company is saying that it is necessary to find new demand such as in overseas business.

(Nikkei Sangyo Shimbun Osaka Economic Affairs Department Natsumi Kawasaki article is translated into English by Biken Techno Corporation)

Pictures ... to help the office management of Japanese companies expanding Asia. (Singapore office of Resona group)