KKR (KKR.US) announced its intention to make a tender offer for software developer Fuji Soft.
AInvestThursday, Aug 8, 2024 8:50 am ET
1min read
KKR --

On Thursday, U.S. investment firm KKR (KKR.US) announced that it will acquire all issued shares of Japanese software developer Fuji Soft at a price of JPY8,800 per share. The proposed acquisition price is 110.3% of the average closing price of Fuji Soft's shares over the past 12 months as of October 2, 2023.

The announcement confirmed yesterday's media reports that KKR is seeking to acquire Fuji Soft through a private equity deal, which is expected to cost 600 billion yen (US$4.13 billion). According to the deal, KKR will acquire Fuji Soft after obtaining regulatory approval, and will fund the acquisition through its Asia Fund IV.

Fuji Soft is a leading system integrator in Japan, focusing on embedded, control and operation software and systems. The company has more than 10,000 system engineers and provides advanced services to customers in various industries with decades of experience.

Hiro Hirano, vice chairman of KKR Asia Pacific and CEO of KKR Japan, said: "We are excited to invest in market leader Fuji Soft as the Japanese IT services industry enters a digital transformation period marked by the widespread use of cloud, IoT and generative AI. We look forward to leveraging KKR's global platform and industry expertise in IT services to accelerate Fuji Soft's long-term growth and unlock greater value for Japanese companies and their customers."

Japan remains an important market for KKR in Asia Pacific and globally. Since entering the Japanese market in 2006, KKR has deployed more than US$80 billion in asset classes and strategies in the country, and currently manages assets under management of US$18 billion.

In Japan, KKR's investments in the digital sector include: Yayoi, a leading cloud accounting software provider; DataX (fka from scratch), a Japanese integrated data-driven marketing SaaS platform; and a number of other investments, such as leading third-party logistics provider LOGISTEED (Mitsubishi Logistics Systems).

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