With Japan already the destination for about 40% of its investment activity in Asia, private investment major KKR & Co is now weighing up a move into the country’s private credit market, according to a report by Bloomberg.
The report quotes Hiro Hirano, Head of KKR Japan, in an interview: “It will be a medium to long-term initiative. I think it is very important in Japan that we do it ourselves.”
While the private credit industry has in the US and Europe has swelled to around $1.7tn — with lenders focusing on companies with high credit risk and private equity funds that need help financing acquisitions — in Japan, most direct lending has been conducted overseas and the domestic loan market is dominated by major banks.
The firm sees Japanese companies as being increasingly willing to sell non-core businesses that can do better as individual entities in carve-outs that often provide higher returns than other investments.
Source: Private Equity Wire
Can’t stop reading? Read more
Carlyle edges ahead in €6bn pursuit of BASF’s coatings division
Carlyle edges ahead in €6bn pursuit of BASF’s coatings division Carlyle Group has emerged as the...
CVC expands US footprint with $1.75bn acquisition of data-driven insurer Bamboo
CVC expands US footprint with $1.75bn acquisition of data-driven insurer Bamboo CVC Capital...
Bain Capital closes $14bn flagship buyout fund, topping $10bn target
Bain Capital closes $14bn flagship buyout fund, topping $10bn target Bain Capital has completed...