Tokyo, Japan-based Sojitz Corporation, through its fully owned subsidiary Sojitz Corporation of America, is acquiring U.S. retail sushi provider Sushi Avenue Inc.
Eagan, Minnesota, U.S.A.-based Sushi Avenue operates a supermarket takeout sushi business spanning 300 retail locations across the U.S., mainly in the Midwest region.
Sojitz said it will leverage its procurement and product development capabilities developed through its longstanding seafood products business – primarily in Japan – to ensure the acquisition is effective.
The company did not disclose financial terms of the deal.
In 2023, Sojitz formed the SUSHI-TEN USA joint venture with Royal Holdings Co. and Choushimaru Co., to “create a new line of business centered on Japanese sushi tailored to the needs of the U.S. market,” the three companies said in a press release.
“The U.S. is an attractive market for restaurant business operators based on its market scale, diverse food culture, and high demand for Japanese foods,” the three companies said at the time.
The deal with Sushi Avenue builds upon that momentum, especially as the U.S. sushi market has expanded to nearly 1.6 times the size of Japan’s sushi market, according to Sojitz.
“Sushi has become a staple of American cuisine with long-time favorites such as California rolls, and the rising popularity of nigiri sushi is expected to increase demand for an even greater variety of quality seafood products in the coming years,” Sojitz said.
In addition to selling sushi in supermarkets across 20 states, Sushi Avenue has developed its own private-label brands tailored to retailers.
Coupled with Sojitz’s extensive experience in the tuna-farming and processing business through several acquisitions, as well as its seafood wholesale business via its fully owned subsidiary Sojitz Foods Corporation, the company said it found the fit with Sushi Avenue to be ideal.
“Through acquisition of these subsidiaries, Sojitz has strengthened its product development and raw material procurement capabilities both in Japan and abroad while pursuing business expansion overseas,” Sojitz said. “Sojitz is committed to taking a customer-driven, market-in approach while building its food value chain as a strategic focus area. Through its seafood product businesses, Sojitz strives to meet diverse consumer needs through the group’s seafood products procurement and proposal capabilities as it expands the seafood products value chain further, starting with the sushi industry.”
