Nov 25, 2016

KKR’s entry into Japan is welcomed

Nissan to sell Calsonic Kansei to KKR

Japan’s second-largest car maker Nissan Motor Co. has agreed to sell Calsonic Kansei, Nissan’s biggest parts supplier, to KKR.

Although KKR aimed to enter the Japanese market from 2006, they were struggling to enter because there is a deep-seated antipathy to hedge funds in Japan. Calsonic Kansei’s case is likely to be a major step in KKR's entry into Japan.

Restart by LBO

Japanese traditional large companies are reluctant to sell non-core business and even if to do so, it is under the table.

KKR’s turnaround skill will play a vital role in the Japanese economy. Don’t follow in the footsteps of vulture fund like Ripplewood notorious for making unfair profits from Shinsei Bank.

History of KKR's entry into Japan

In 2006, KKR opened the Tokyo office. In 2012, KKR tried to invest in Renesas Electronics, a struggling domestic chip maker, however, only the idea of ​​the investment scheme is stolen, and work is taken on the semi-government fund.

In 2013, KKR succeed in acquiring medical business from Panasonic. Panasonic Healthcare acquired by KKR sold ultrasound diagnostic equipment business to Konica Minolta, and sold the hearing aid business to the Panasonic again. In the meantime, Panasonic Healthcare acquired the business of blood glucose meter for diabetes from Bayer in Germany. Panasonic Healthcare have transformed into a clear operating company.

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