US-based private equity firm Carlyle Group is seeking to take KFC Holdings Japan private in an acquisition worth approximately 130 billion yen (US$835 million).
Carlyle will launch a tender offer for the Tokyo-listed company at 6500 yen per share, according to Nikkei. The tender period will run through July 9.
The group will then acquire the remaining stake owned by trading house Mitsubishi Corp for about 40 billion yen in September. Mitsubishi, which has been involved in the management of KFC Japan since its establishment in 1970, currently owns 35 per cent of the company’s stake.
Once the deal is completed, the fast-food restaurant chain will become a wholly-owned subsidiary of Carlyle. Following the acquisition, Carlyle plans to expand the chain’s menu, offering more lunch and afternoon items.
KFC Japan recently posted an 11 per cent increase in group sales to 110.6 billion yen for the fiscal year ended March. The company’s operating profit also soared 62 per cent to 5.8 billion yen.
