Avolta has entered into an agreement to acquire 100% of DFS Okinawa, marking its entry into the Japanese travel retail market and strengthening its presence across Asia Pacific.
The acquisition includes DFS Okinawa’s operations at Naha Airport’s international and domestic terminals, as well as the Okinawa Downtown Galleria in Naha. The business benefits from long-term concession agreements with an average remaining duration of more than ten years.
The move provides Avolta with immediate scale in one of Asia’s most dynamic travel retail markets, complementing its recently announced food & beverage operations in Japan while expanding its exposure to leading luxury brands.
According to Avolta, DFS Okinawa generated revenues equivalent to approximately 10% of the group’s Asia Pacific business in 2025. The transaction will be funded through available cash on hand and is expected to have a limited impact on leverage, estimated at around 0.1x.
Avolta said the acquisition is expected to be immediately accretive to EBITDA margin, earnings per share, equity free cash flow and return on invested capital. The company also highlighted the strategic value of entering Japan through an established, cash-generative platform with exposure to both airport and downtown travel retail channels.
The business will be integrated through Avolta’s existing regional infrastructure and will build on the company’s longstanding global relationship with DFS parent company LVMH.
Avolta CEO Xavier Rossinyol said: “This acquisition will represent a deliberate step into the Japanese duty-free market following our recent entry into F&B, as it will further strengthen our position in the wider APAC region and will add to our geographical diversification.”
He added that the transaction will provide access to an attractive customer base and high-quality assets while supporting the continued development of Avolta’s digital platform, data capabilities and brand portfolio.
The transaction remains subject to customary closing conditions and is expected to be completed during the third quarter of 2026.
AloJapan.com