Watabe Wedding Files for Out-of-Court Rehabilitation
Kyoto, March 20 (Jiji Press)--Watabe Wedding Corp. <4696> said Friday that it has filed for out-of-court business rehabilitation procedures called alternative dispute resolution.
The application was approved, said the troubled wedding service company based in the western Japan city of Kyoto.
Watabe Wedding, currently listed on the first section of the Tokyo Stock Exchange, will aim to rebuild its operations under Kowa Co., based in Nagoya, the capital of Aichi Prefecture, central Japan, which runs a wide range of businesses, such as pharmaceutical products and hotel operation.
In ADR procedures, a third-party entity mediates between a struggling company and creditors. Compared with court-administered business rehabilitation systems, procedures under ADR generally take a relatively short period of time.
Watabe Wedding saw its debts exceed assets by 863 million yen as of the end of last year, hit by a series of wedding cancellations amid the novel coronavirus crisis. The company will continue to offer wedding and accommodation services for which reservations have already been made.
[Copyright The Jiji Press, Ltd.]