The Carlyle Group has agreed to sell Meisui Bijin Factory, a Japanese bean sprouts manufacturer, to Shinmei. No financial terms were disclosed. Mitsubishi UFJ Morgan Stanley Securities Co., Ltd is serving as financial advisor to Carlyle while Nishimura & Asahi is acting as legal advisor.
Tokyo, Japan – Global investment firm The Carlyle Group (NASDAQ: CG), signed an agreement to sell full ownership in Meisui Bijin Factory Co., Ltd. (Meisui Bijin Factory), one of the leading bean sprouts manufacturers in Japan, to Shinmei Holdings Co., Ltd. (Shinmei), a market leader with core business operations in rice wholesale, on February 27, 2020.
Carlyle invested in Meisui Bijin Factory in March 2016 through Carlyle Japan Partners III, L.P., an investment fund advised by Carlyle Japan L.L.C. Carlyle has since helped the company drive a strategic transformation that has built the foundations for long-term sustainable growth. Carlyle leveraged its deep sector expertise and operational capabilities to develop a new management structure within Meisui Bijin Factory; start a new factory to establish and scale-up Meisui Bijin Factory’s pre-cut vegetable business; strengthen the company’s leading market position in bean sprouts through bolstering marketing and sales capabilities; and to rebuild Meisui Bijin Factory’s missions and vision. Carlyle will now be transitioning full ownership to Shinmei where significant business synergies exist to support Meisui Bijin Factory’s next phase of growth.
Yusuke Watanabe, Managing Director of the Carlyle Japan advisory team, said “We have been delighted to partner with Meisui Bijin Factory over the past four years, and feel great pride on the transformation and resulting value creation that we have collectively achieved within the business. We believe Meisui Bijin Factory’s new partnership with Shinmei will help the company to further build on its position as the leading bean sprouts and pre-cut vegetables business in Japan.”
Jiro Wakasa, President and Representative Director at Meisui Bijin Factory, commented “We at Meisui Bijin Factory would like to thank Carlyle for enabling us to achieve a period of such significant growth, and for their dedication to our mission to contribute to the everyday health and wellbeing of our customers. We welcome the new partnership with Shinmei, whose strong network of consumer and retail businesses will be invaluable as we continue to expand our business and develop our product offering.”
Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. is acting as an exclusive financial advisor to Carlyle, while Nishimura & Asahi is acting as legal advisor.
About the Carlyle Group
The Carlyle Group (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across four business segments: Corporate Private Equity, Real Assets, Global Credit and Investment Solutions. With $224 billion of assets under management as of December 31, 2019, Carlyle’s purpose is to invest wisely and create value on behalf of our investors, portfolio companies and the communities in which we live and invest. The Carlyle Group employs more than 1,775 people in 32 offices across six continents.
The Carlyle Group is the only global investment firm that has dedicated Japan buyout funds denominated in Japanese yen. Carlyle’s Japan buyout funds, which have made 26 investments in Japan, have experience supporting Japanese companies’ business expansion overseas, enhancing their operational efficiency and strengthening their management infrastructure. Carlyle’s Japan buyout funds have a well-established track record in consumer brands, with investments including Oyatsu, Tokiwa and Orion.
About Meisui Bijin Factory Co., Ltd.
Meisui Bijin Factory Co., Ltd., owns “Mesui Bijin”, the best-selling bean sprouts brand in Japan and is a market leading company covering No.1 share of bean sprouts in Western Japan. With the company mission “To contribute to healthy everyday life for customers around the world by committing to water, freshness and taste”, the company has been providing high quality bean sprouts to customers since the establishment in 1990. In addition, the company has developed a variety of pre-cut vegetable products under the “Meisui Bijin” brand to meet the diversification of consumer needs in recent years.
Please refer to the website (http://www.meisuibijin.co.jp/) for more information.
About Shinmei Holdings Co., Ltd.
Shinmei Holdings Co., Ltd., is the holding company including Shinmei Co., Ltd., a leading rice wholesaler in Japan. Based on the corporate philosophy, “Through rice, we contribute to peoples’ good eating habits by protecting the amazing Japanese rice fields and their culture, as well as by creating happiness and bringing deliciousness”, Shinmei provides a rice wholesaler service, which is the core of the business, processed rice products like packed rice as well as boiled rice, and a global restaurant business. In addition, Shinmei has expanded its business to create a “one-stop food value chain from upstream to downstream” including fruits and vegetables as well as marine foods to address disruptive environmental changes which are linked to the declining population, falling birth rate and aging population in Japan, as well as the diversification of eating habits. Please refer to the website (https://www.akafuji.co.jp/) for more information.