Bandai Namco Holdings plans to merge overlapping anime operations between subsidiaries Bandai Namco Filmworks and Sotsu, targeting an April 2026 completion. The restructuring will consolidate the Gundam franchise business and intellectual property production under Filmworks, ending years of duplicated functions.
The reorganization addresses inefficiencies that persisted after Bandai Namco acquired Sotsu through a ¥35 billion ($323 million) tender offer in 2019. Despite that deal consolidating most Gundam licensing within the group, both companies continued managing separate aspects of the franchise—Filmworks handling creative development while Sotsu managed merchandising rights.
The setup created redundancies as both units pursued IP creation and licensing activities independently. Filmworks, formed in 2022 through a merger of Sunrise studio and other divisions, represents one of Japan’s largest anime producers. Sotsu, established in 1965, built its reputation co-producing Gundam and other franchises since the 1970s.
Under the new structure, Sotsu’s capabilities in partnering with external studios will transfer to Filmworks. The companies said they expect the consolidation to expand Gundam’s global reach, though the franchise has faced intensifying competition in the mecha genre.
The reorganization follows Bandai Namco’s broader push to streamline operations across its entertainment businesses. Earlier this year, the conglomerate established Bandai Namco Filmworks America to handle international licensing.
