European investment firm EQT to take Japan's Fujitec private for $2.7 billion
Following completion of the tender offer, EQT would own 85 per cent, while Fujitec's founding family would roll over a 15 per cent minority stake, EQT said in a statement.
The deal via EQT's BPEA Private Equity Fund IX, its latest Asia-focused buyout fund, would be the firm's largest buyout in Japan and the largest private equity-led take-private deal this year, the firm said.
Shares in Fujitec plunged 9.5 per cent to 5,616 yen in early Tokyo trade.
Founded nearly 80 years ago and headquartered in Shiga, Japan, Fujitec is the only independent, full-scope elevator and escalator original equipment manufacturer in Japan with presence in 24 markets globally, EQT said.
The investment firm is planning to work with Fujitec's management to improve its operations, accelerate digitisation and expand in Japan, India, North America and Southeast Asia, it said.
EQT's tender offer comes as mergers and acquisitions involving Japanese companies reached a record $232 billion in the first half of this year.
The government's call for better corporate governance, including the privatisation of listed subsidiaries, as well as outbound acquisitions by Japanese firms seeking new growth avenues, will keep igniting mega deals, bankers have said.
A host of global investment firms are beefing up headcount in Japan as deals surge, Reuters has reported.
EQT, which established its Tokyo office in 2006, has received commitments of $11.4 billion for the latest Asia-focused buyout fund, according to a statement earlier this month.
The fund is expected to reach its $14.5 billion hard cap at final close in 2026, it said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
3 minutes ago
- Straits Times
EU court questions Italy's 'safe country' list underpinning Albania camps scheme
Sign up now: Get ST's newsletters delivered to your inbox FILE PHOTO: A drone view shows a migrant detention centre in Gjader, Albania, July 31, 2025. The facility was set up under an Italian government plan to process migrants rescued at sea. REUTERS/Florion Goga/File Photo BRUSSELS/ROME - Europe's top court on Friday questioned the legitimacy of the "safe countries" list Italy uses to send migrants to Albania to await decisions on their asylum claims, in a fresh blow to a key aspect of the government's migration policy. Conservative Prime Minister Giorgia Meloni's office, in a statement, called the court decision "surprising" and said it "weakens policies to combat mass illegal immigration and defend national borders". Meloni has presented the migrant detention facilities set up in Albania as a cornerstone of her tough approach to immigration, and other European countries have looked to them as a possible model. However, the scheme stumbled on legal opposition almost as soon as it was launched last year - Italian courts ordered the return to Italy of migrants picked up at sea and taken to Albania, citing issues with European Union law. In a long-awaited judgment, the European Court of Justice (ECJ) said Italy is authorised to fast-track asylum rejections for nationals coming from countries on a "safe" list - a principle at the heart of the Albania scheme. It also said Italy is free to decide which countries are "safe", but also warned that such a designation should meet strict legal standards and allow applicants and courts to access and challenge the supporting evidence. In its statement, the ECJ said a Rome court had turned to EU judges citing the impossibility of accessing such information and thus preventing it from "challenging and reviewing the lawfulness of such a presumption of safety". Top stories Swipe. Select. Stay informed. Tech Reporting suspected advanced cyber attacks will provide a defence framework: Shanmugam Singapore Tanjong Katong sinkhole: Road will progressively open to motorists from Aug 2 noon World Trump modifies reciprocal tariffs ahead of deadline; rate on Singapore remains at 10% Business Singapore's US tariff rate stays at 10%, but the Republic is not out of the woods yet Singapore 5 women face capital charges after they were allegedly found with nearly 27kg of cocaine in S'pore Business Sumo Salad had valid insurance coverage for work injury claims: MOM Asia Australia to force Google to conduct age checks in world-first rules for search engines Singapore PM Wong to deliver National Day message on Aug 8 The ECJ also said that a country might not be classified "safe" if it does not offer adequate protection to its entire population, effectively agreeing with Italian judges that had raised this issue last year. The specific case that led to the ECJ's opinion involved two Bangladeshi nationals who were rescued at sea by Italian authorities and taken to Italy's detention centre in Albania, where their asylum claims were rejected based on Italy's classification of Bangladesh as a "safe" country. The detention facilities Italy set up in Albania are currently empty due to the controversy over their legality. Last week, a report found that their construction cost was seven times more than that of an equivalent centre in Italy. REUTERS
Business Times
3 minutes ago
- Business Times
Eurozone inflation holds at ECB target, supporting case for steady rates
[FRANKFURT] Eurozone inflation held steady at the ECB's 2 per cent target in July, confirming the bank's benign view on prices and strengthening the case for policymakers to keep interest rates on hold for some time after rapidly cutting borrowing costs. The ECB halved its key rate to 2 per cent in the year to June and predicted that inflation would hover near its target over the medium term, reducing the need for further action, even if the outlook was unusually uncertain given trade tensions with the US and geopolitical volatility. At 2 per cent, inflation was a touch above expectations in a Reuters poll of economists but such a small miss is unlikely to concern policymakers, who are more focused on underlying trends, particularly in services. Underlying or core inflation, which excludes volatile items like food and fuel, was also steady at 2.3 per cent, as a small slowdown in services price growth to 3.1 per cent from 3.3 per cent was offset by a pick-up in goods inflation, data from Eurostat showed on Friday (Aug 1). 'The latest trade developments and the avoidance of a full-blown trade conflict have alleviated pressure on the ECB to continue cutting rates to support eurozone growth,' ING economist Carsten Brzeski said. 'Add to this the latest weakening of the euro as well as meagre but positive GDP growth in the second quarter and the bar for yet another rate cut this year has clearly risen.' Financial markets see less than a 50 per cent chance of another rate cut this year, indicating that the bar for policy easing has increased since the EU struck a tentative trade deal with the US. While the agreed 15 per cent tariffs will be negative for growth and reduce price pressures, much of this has been priced into assets and the end of uncertainty will offset some of the negatives. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Extra budget spending from Germany, the bloc's biggest economy, is also likely to compensate for some of the drag from trade, suggesting that the eurozone's timid recovery will continue next year, driven mostly by domestic consumption. Some policymakers, however, fear that trade barriers could be a bigger drag on prices than currently predicted and the ECB could undershoot its target in the coming years, much like it did during the pre-pandemic decade. Indeed, the bank's own projections put inflation below 2.0 per cent through 2026 before a rebound, and the bank has repeatedly warned that rising trade barriers could force China to start dumping surplus export goods on the rest of the world, lowering prices. But economists said there was no evidence for such a trend now. 'Country-level data so far suggest no sign of Chinese goods dumping,' Nomura said in a note. REUTERS
Business Times
33 minutes ago
- Business Times
Malaysian pharmaceuticals, semiconductors exempt from US tariffs: minister
[KUALA LUMPUR] Malaysian pharmaceutical products and semiconductors will be exempt from US tariffs, the country's trade minister Tengku Zafrul Aziz said on Friday (Aug 1). 'At this time, exports of semiconductor and pharmaceutical (products) remain at 0 per cent (tariff rate),' he said at a press briefing after the US imposed a tariff of 19 per cent on Malaysia's exports. He said the levy on Malaysian goods would be effective from Aug 8. Tengku Zafrul also said that there had been no agreement with the US or other countries on the exclusive supply of rare earths. 'In fact, no such request has been made by the US,' he said. Gaining access to rare earth metals has been a crucial part of US trade negotiations, with rival China currently in control of 90 per cent of global processing capacity. Critical minerals were also under discussion during US negotiations with Indonesia. Tengku Zafrul said Malaysia and the US would release a joint statement on tariffs at the weekend. The trade ministry said in a statement earlier on Friday that the tariff outcome came after sustained engagement by both countries and did not cross any of Malaysia's 'red lines' or compromise its sovereign rights. REUTERS
