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NPF proposed that we take part in a joint investment in Daikuma, which is a subsidiary of the Ito-Yokado Group. The idea behind this proposal was to restore Daikuma's profitability by converting its business line from discount stores to large-scale consumer electronics specialty stores. As it operated 26 large-scale stores primarily in the Kanagawa area, each with a floor space in excess of 3,000 square meters, Daikuma was suited to the program we were advancing regarding expansion of our business line of large-scale consumer mass merchandise electronics outlets.
Above all, however, the decisive factor in our decision to take the action was the prospect of acquiring highly skilled employees that, in the long run, would give our group a great advantage. Currently, Yamada Denki is pushing forward its plan to upgrade and expand its store network and human resource development program with an aim towards generating consolidated sales of ¥1 trillion in fiscal 2003. I believe that our investment in Daikuma will help assure its success in meeting these goals.
Because Ito-Yokado apparently considered drastic measures related to the positioning of its discount store business line as part of its group strategy, I believe that we were able to reach an amicable agreement that benefited both the buyer and seller. As for our role in the joint acquisition, NPF was in charge of creating a financing scheme and the takeover negotiations, while Yamada Denki was responsible for its own operation and the conversion of its business line following the takeover.
I assumed that the acquisition of an enterprise generating sales of ¥100 billion with more than 1,000 employees would require the execution of various tasks, in addition to investment, following the purchase. Such tasks include the formulation of a financial strategy and responding to employee needs and issues related to welfare and pension programs. Therefore, I thought that if we made the investment through a joint investment project with the Nomura Group, we would be able to efficiently utilize all of Nomura's services, which would enable the investment project to progress smoothly. Presently, we are converting Daikuma's business line at a rapid and extremely smooth pace thanks to the perseverance of its employees. I feel as though a new force to further our business development has been added to Yamada Group's future growth strategy.
I was concerned as to whether or not Yamada Denki (the strategic investor) could control Daikuma's business operations and convert its business line appropriately following the investment while at the same time maintaining a smooth cooperative relationship with NPF (the financial investor). To minimize this concern, NPF and Yamada Denki will invest in Daikuma through a special purpose company (SPC), with the former ultimately using bonds with subscription warrants and the latter investing through acquisition of its shares. I think the creation of a financial scheme that uses an SPC will enable the two investors to undertake the project responsibly and conscientiously while still balancing their strengths and maintaining their complementary relationship on the road towards mutual success.
Although this investment project has enabled us to take advantage of Nomura Group's various services, we also believe that its various specialized services, customer network, financial expertise, and allowing us access to its vast store of information will play a major role in our future operations. For example, a key factor in our ability to carry out this project smoothly was the deep trust that had developed between the Nomura Group and Ito-Yokado over a long period of time. Furthermore, Yamada Denki was able to raise ¥50 billion in the capital markets following this investment, which I believe went smoothly in spite of the timing of the issue. What I mean is that it came up at a time when the market environment was bleak, yet things seemed to go smoothly because of our business partnership with the Nomura Group, who helped persuade our investors to make the investment. In addition, I believe that this joint investment project is extremely significant to the creation of future growth scenarios that are finance dependent.
