Chapter 507: Two Seibu

Satsuki lowered her head and took a sip of tea.

The temperature of the gyokuro had dropped a bit, and it actually felt smoother on the palate than before.

She pinched the rim of the teacup with just two fingers, turning it casually for a little half-circle, as if considering where to begin.

Tsutsumi Seiji sat opposite her, not rushing her either.

After a moment, Satsuki raised her eyes.

"If I said that I really just wanted to come see Mr. Seiji’s exhibition today, would you believe it?"

Tsutsumi Seiji smiled.

"I would be very glad."

He picked up his own teacup.

"However, you specifically sent someone to ask the other day whether I could spare a little time for us to talk alone tonight. Since that’s the case, I should at least hear out what Miss Saionji is prepared to discuss with me."

A hint of a smile surfaced in Satsuki’s eyes.

"As expected, I can’t hide anything from you."

She gently placed the cup in her hand back onto the saucer, and her posture straightened up slightly as a result.

"Then excuse me."

Tsutsumi Seiji nodded slightly.

Satsuki looked at him.

"I hope that Saionji can obtain stable operational control of FamilyMart."

Tsutsumi Seiji’s gaze lingered on her face, his expression remaining as usual.

Satsuki subtly observed Tsutsumi Seiji’s expression and continued:

"As for Ryohin Keikaku, I hope to acquire the shares that Mr. Seiji’s side is willing to cede, with the goal of obtaining operational control."

"Furthermore, PARCO is also within the scope of my targets; I also hope to acquire a portion of the shares held by your side."

The room fell silent for a moment.

Tsutsumi Seiji just looked at Satsuki, who had dropped such a blockbuster piece of news, and leisurely took another sip of tea.

After pondering for quite a while about what this girl was actually planning to do this time, he slowly put down his teacup.

"FamilyMart, Ryohin Keikaku, plus PARCO."

He recited the three names again.

"It seems that when you came to find me today, you were truly prepared to discuss quite a substantial business deal."

"Of course, on the premise that Mr. Seiji is willing to discuss it."

Satsuki revealed a faint smile once more.

"Since you’re already sitting here, I should at least listen to the end first."

Tsutsumi Seiji looked at her.

"However, I want to know first why you happened to choose these three."

Satsuki gently touched the rim of her cup.

"Because they all hold value for Saionji."

"That answer is too broad."

"I know."

Satsuki smiled slightly.

"That’s why we still have to start from Seibu."

Tsutsumi Seiji’s gaze flickered slightly.

Satsuki continued:

"Over the past two years, Saionji has cooperated very deeply with Uncle Tsutsumi’s side. Railway line development, land, hotels, Gokurakukan, and several projects currently being advanced."

"The outside world regards both parties as important allies; this judgment is basically without issue."

"Basically?"

Tsutsumi Seiji narrowed his eyes slightly, catching onto that word.

"In the matter of cooperation between the two sides, Saionji has made money from it, and so has Seibu."

"As long as this cooperation remains profitable, of course I hope it lasts as long as possible."

She placed the teacup back onto the table.

"However, cooperation between enterprises always needs to leave a little leeway."

"Mr. Seiji should also know where Uncle Tsutsumi’s most formidable capability truly lies."

"You’re suddenly starting to praise Yoshiaki?"

Tsutsumi Seiji let out a chuckle.

"I’ve always highly recognized his managerial ability."

Satsuki raised her eyes.

Her tone even sounded somewhat innocent.

"Railways, land, hotels, large-scale developments—not a single one of these items can be run for decades relying purely on luck."

"Being able to operate Seibu to its current scale is in itself enough to explain many things."

The smile on Tsutsumi Seiji’s face faded a bit.

Satsuki saw this and continued speaking along the lines of what she had just said.

"During Seibu’s most difficult times last year, its financial pressure was very heavy. But after a year of financing adjustments, asset disposals, and several projects in which Saionji participated, it has recovered quite a bit now."

"Since Saionji directly participated in some of the financing and development arrangements, I have a rough idea of their current fund-dispatching capability."

"I can’t state the specific figures, but..."

Satsuki looked straight into Tsutsumi Seiji’s eyes.

"The current Seibu already has spare capacity."

Hearing this, Tsutsumi Seiji’s expression had already grown serious.

"You mean to say that this ’spare capacity’ is redundant for Saionji?"

"Huh? Is that so?"

Satsuki merely glanced at him.

"I didn’t say that, oh? I’m merely stating a fact."

Tsutsumi Seiji was slightly stunned for a moment before understanding.

"Mm, I understand. Please continue."

Satsuki maintained her calm expression throughout and took a sip of tea.

"Uncle Tsutsumi’s most valuable assets should be clearer to Mr. Seiji than anyone else: the railway network, massive amounts of land along the lines, hotels, and large-scale developments that have been going on for decades."

"These businesses support one another."

"The railways are responsible for passenger flow, the land along the lines undertakes residential and commercial development, and the hotels handle business and tourism demands. As long as the projects enter a mature stage, land prices, passenger flow, and asset value will continue to reciprocally support new developments."

"And once Seibu patches up their final shortcoming, the scale of their system will inevitably rise to yet another level."

Hearing this, Tsutsumi Seiji already revealed a look of realization.

"You mean, my commercial sector?"

"Precisely."

Satsuki nodded with a solemn expression.

"Once Uncle Tsutsumi’s original projects form a scale, they will inherently continuously improve the utilization efficiency of surrounding assets."

"However, to make people willing to stay and consume after arriving, and to long-term form a stable flow of people and a circle of life, mature commercial operational capabilities are still required."

"Up until now, Seibu has yet to have systematic commercial assets, but once they make up for this shortcoming in the future..."

Saying this, she paused slightly.

"At that stage, Saionji’s importance to Seibu will drop drastically."

After listening, Tsutsumi Seiji remained silent for a long time.

The lounge fell silent for a time.

After quite a while, he spoke again.

"So you are preparing to control the commercial end in advance."

"At least control the most valuable part of it."

Satsuki nodded.

"I won’t assume that this advantage can be maintained indefinitely just because both sides are cooperating smoothly right now."

Tsutsumi Seiji looked at her for a moment.

"Your evaluation of Tsutsumi Yoshiaki seems to be much higher than that of the outside world."

"I certainly don’t think Uncle Tsutsumi became the world’s richest man by relying on luck."

Satsuki’s tone was very earnest.

"Mr. Seiji should know that my private relationship with Uncle Tsutsumi is fairly decent. However, personal relations are one thing, and the interests between enterprises are another."

"Facing a cooperation partner who excels in running railways, land, and large-scale developments, and who now has regained financial capacity, maintaining necessary precautions is completely normal."

Tsutsumi Seiji picked up his teacup and took a sip.

"So FamilyMart, Ryohin Keikaku, and PARCO are the answers you picked out?"

"Part of them."

Satsuki said.

"I don’t have much interest in Seiyu itself and the department store business. Saionji already has its own large-scale retail channels; taking back another massive traditional retail system would incur too high integration costs and have limited strategic value."

"The situation with FamilyMart is different."

"Over the years, it has already established deep business ties with Saionji’s supply and logistics systems. Of course, continuing to maintain the current cooperative structure can still keep things running, but from a long-term layout perspective, Saionji prefers to directly control this type of consumer terminal."

Tsutsumi Seiji nodded slightly.

Anyway, for these past few years, FamilyMart hadn’t been much different from bearing the surname Saionji anyway; if anything, it would be even stranger if Saionji didn’t want to strive for FamilyMart.

"What about Ryohin Keikaku?"

Hearing this, Satsuki’s expression softened a bit.

"This reason should be easier for Mr. Seiji to understand."

She glanced at the exhibition hall outside.

"Three years ago, I talked to you about MUJI."

"I remember."

"I said at the time that its most valuable aspect lies in knowing what things should be discarded."

A bit more smile appeared on Tsutsumi Seiji’s face.

"I remember that sentence too."

"Then I still hold the same view today."

Satsuki said.

"Many consumer brands nowadays rely on decorations, trademarks, and increasingly complex product designs to emphasize their identity."

"Yet MUJI, which you lead, chose a different path; it compresses these elements as much as possible, making the commodities themselves and lifestyle the core."

"Once this philosophy is established, brand value will not be confined to any single commodity."

"Stationery, furniture, clothing, food, and even larger living spaces in the future can all continue to extend along the same aesthetic and consumer logic."

Listening to this, Tsutsumi Seiji’s gaze gradually softened.

"So what you want is the Ryohin Keikaku brand."

"And the design system and operating methods it has already formed."

Satsuki added.

"Saionji could open a company selling furniture and household goods by itself, but doing it that way wouldn’t produce MUJI."

This sentence made Tsutsumi Seiji visibly more satisfied.

"What about PARCO?"

"PARCO is even more special."

Satsuki recalled that morning she spent shopping in Ikebukuro with Ayako and Reiko a few days ago.

"Only after browsing it myself did I truly understand what Mr. Seiji has been doing all these years."

Tsutsumi Seiji raised an eyebrow.

"That sentence sounds like you’re preparing to praise me first."

"I’m praising you to begin with."

Satsuki replied with a straight face.

"PARCO’s truly valuable aspect is its ability to run commercial spaces into destinations."

"When consumers go there, their reasons are not limited to purchasing a specific commodity."

"Advertisements, exhibitions, music, clothing, dining, and the constantly changing cultural tastes surrounding young people jointly determine why they are willing to stay there for a few hours."

"Such commercial operational capability is indeed relatively weak for Saionji at present."

Tsutsumi Seiji looked at her.

"That being the case, it’s the same for Tsutsumi Yoshiaki’s side."

Satsuki nodded naturally.

"Yes."

After this word fell, the two of them fell into a brief silence for a split second.

Tsutsumi Seiji slowly placed the teacup in his hand back onto the table.

"So the matter you’re worried about is probably more than just Seibu reducing its dependence on Saionji in the future."

Satsuki raised her eyes to look at him.

"You also don’t want Yoshiaki to acquire these commercial capabilities."

The corners of Satsuki’s lips curved slightly.

"Those words were spoken by Mr. Seiji."

"You already took your words to this extent just now."

"I merely analyzed Seibu’s current industrial structure."

Satsuki picked up her cup and took another sip of tea.

"As for what Uncle Tsutsumi plans to do in the future, I haven’t heard him mention it."

Tsutsumi Seiji narrowed his eyes slightly.

"Really haven’t?"

"No."

Satsuki’s expression did not look fake.

"I can state this matter clearly to you."

Tsutsumi Seiji looked at her for a few seconds.

"Then why would you consider this layer?"

"Because from the perspective of enterprise management, this direction is very natural."

Satsuki put down the cup.

"If I were Uncle Tsutsumi, having already possessed railways, land, hotels, and a massive amount of development projects in my hands, and having regained relatively strong financing capabilities, I would definitely study how to make up for commercial operations."

"There happen to be a batch of mature assets already existing on the market."

"As long as the valuation, control, and financing conditions are appropriate, any rational manager would consider it."

"What’s more, these assets still bear the surname Seibu."

"In your opinion, if Uncle Tsutsumi is preparing to make up for the commercial sector, which batch of assets would he prioritize choosing?"

The room fell quiet.

This time, Tsutsumi Seiji did not speak for a long time, his expression growing solemn.

Over the past few years, he had been gradually withdrawing from the group’s daily operations, handing over more decision-making power to various companies and professional managers.

This was the direction he actively chose.

But as power gradually dispersed, the boundaries previously maintained by his personal will would inevitably undergo changes.

FamilyMart has already gone public.

PARCO possesses an independent operating system.

Ryohin Keikaku is also gradually establishing a more complete corporate structure from the original Seiyu system.

In the future, any capital operation would be hard for him alone to decide permanently anymore.

On the other side, Tsutsumi Yoshiaki’s Seibu is recovering.

If someone were to truly propose—

Oh no!

For the first time, Tsutsumi Seiji generated an extremely strong sense of crisis.

The commercial system that he had operated for most of his life and regarded as a work of art—might it very likely be bought back and ruined by his vulgar younger brother with filthy money?

Just thinking about it gave him goosebumps all over.

Would that fellow Tsutsumi Yoshiaki, upon getting MUJI, not be preparing to uniformly replace all the floors with marble? And hang crystal chandeliers on top of that?

His gaze fell back onto Satsuki’s face.

Satsuki was lowering her head to pick a very small wagashi, seemingly not prepared to continue explaining at all.

"Your worries... indeed seem very likely to happen."

"At least from the perspective of banks and the capital markets, the story of ’the split Seibu recombining into one’ sounds really good indeed."

Only then did Satsuki raise her head, still biting on a piece of wagashi in her mouth.

Tsutsumi Seiji spoke slowly.

"That being said, if someone proposes reintegration, the banks might not necessarily oppose it..."

"I thought so too."

Satsuki took a small bite of the pastry.

"The capital markets especially love simple, complete, and nice-sounding stories."

Tsutsumi Seiji looked at her.

"So, are you reminding me of this?"

Satsuki swallowed the pastry before answering:

"I am explaining to Mr. Seiji why Saionji is willing to make an offer now."

She pulled out a tissue and gently wiped her fingers.

"These assets remain with you right now, and I also respect your management style."

"However, if some changes that Saionji is unhappy to see happen in the future..."

Satsuki did not finish.

Tsutsumi Seiji fell silent for a moment.

"If Tsutsumi Yoshiaki hears these words of yours, he probably won’t be too happy."

"That’s why I am talking with Mr. Seiji today."

"Mr. Seiji will keep this secret for me, won’t you?"

Making full use of her own advantages, Satsuki revealed a very harmless smile.

This time, Tsutsumi Seiji smiled as well.

"You child, when it comes to talking business, you really aren’t cute at all."

"Mr. Seiji just said my face is worth one billion dollars."

"That’s another matter."

The atmosphere became slightly less heavy, and the smiles on both of their faces quickly faded away again.

Tsutsumi Seiji leaned back against the sofa.

"Having said so much, what do you hope I will do?"