Fujiya Co.'s product safety blunder is likely to make the confectioner financially vulnerable, prompting market speculation Tuesday it may seek deeper ties or a merger with candy maker Morinaga & Co.
Morinaga's shares climbed 10 yen Tuesday on the Tokyo Stock Exchange to close 3.27 percent higher at 316 yen on expectations that closer ties with Fujiya may give Morinaga a lift. Morinaga already has a stake in Fujiya.
Fujiya shares also jumped Tuesday, rising 7 yen to end at 199 yen.