Tokio Marine Capital Plans Sale of Showa

Tokio Marine Capital, a Japanese private equity firm, has launched a sale of drugmaker Showa Yakuhin Kako, Reuters reported Thursday. The company could be valued as high as 70 billion yen ($905 million), Reuters wrote. Tokyo-based Showa Yakuhin Kako is 50% owned by Tokio Marine Capital. Polaris Capital Group, another Japanese buyout firm, owns 23%, and a private equity arm of Pine Bridge Investments has another 23%.

(Reuters) – Tokio Marine Capital, a Japanese private equity firm affiliated with Tokyo Marine Holdings , has launched the sale of drugmaker Showa Yakuhin Kako Co in a deal that could be worth as much as 70 billion yen ($905 million), according to three people with direct knowledge of the matter.

Tokio Marine Capital has hired Citigroup to manage the sale, said the people, who asked not to be identified because the information is not public.

Tokyo-based Showa Yakuhin Kako is 50 percent owned by Tokio Marine Capital. Polaris Capital Group, another Japanese buyout firm, owns 23 percent, and a private equity arm of Pine Bridge Investments has another 23 percent; these two also plan to sell their stakes, the people said.

Officials at Tokio Marine Capital declined to comment.

The sale comes as Tokio Marine Capital raises money for a new fund. The firm said in August it had obtained 10 billion yen from investors in Japan and overseas and was continuing to raise money.