KKR, JIC Capital Team Up to Take Japan's Topcon Private in Management Buyout Deal

11:55 AM EDT, 03/28/2025 (MT Newswires) -- KKR (KKR) and a Japan Investment Corp. unit teamed up to invest in Japan's Topcon as part of a management buyout that will see the optical and medical equipment maker become a private company, the companies said in a joint statement Friday.

An entity owned by KKR's investment funds plans to make a tender offer for common shares of Topcon. KKR will indirectly hold a majority stake in Topcon, while JIC Capital plans to indirectly hold voting rights following completion of the tender offer.

Topcon Chief Executive Takashi Eto, who is leading the management buyout, intends to participate in the tender offer and later make a reinvestment, according to the statement.

The tender offer is priced at 3,300 Japanese yen ($21.99) per share, representing a 99.5% premium over the average stock price of Topcon for the 12 months up to Dec. 9.

In collaboration with Eto and JIC Capital, KKR plans to help Topcon accelerate growth and become a leading global solutions company, KKR Japan CEO Hiro Hirano said in the statement.

"Strategically partnering with KKR and JICC will enable us to focus on bold, agile investments and management initiatives, including structural reforms, without being constrained by potential short-term uncertainties," Eto said.

JIC Capital aims to be "a strong partner" for Topcon as it seeks to further expand its business in Japan and transform from a hardware company to a global solutions business "with significant overseas growth," JIC Capital CEO Shogo Ikeuchi said.

Separately, ValueAct Capital, which owns about 14% of Topcon shares, backed the tender offer.

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