| TOKYO, June 23
TOKYO, June 23 Japanese private equity firms
Advantage Partners, Unison Capital and MKS Partners will sell a
60 percent stake in Kracie Holdings to hair-colouring products
maker Hoyu Co, a source with knowledge of the matter said.
The Nikkei business daily estimated the deal would be worth
about 25 billion yen ($261 million), including debt.
Kracie is a maker of food, toiletries and drugs spun off from
Kanebo, a cosmetics and household goods giant that was delisted
due to accounting fraud and then acquired by a state-backed
bailout firm in 2004.
Advantage Partners, Unison Capital and MKS Partners bought a
100 percent stake in Kracie for about 43 billion yen from the
bailout firm in 2006.
The funds, through an investment vehicle called Trinity
Investment Co, plan to hold on to 40 percent of Kracie, the
source told Reuters, speaking on condition of anonymity because
the deal has not been made public.
A spokesman for Trinity nothing has been decided.
Kao Corp (4452.T), Japan's largest maker of toiletries,
bought Kanebo's cosmetics division.
Of the three private equity firms, MKS Partners has been hit
by the financial crisis, prompting it to stop new investments and
focus on selling its portfolio, a person familiar with the matter
told Reuters in November. [ID:nT240231]
(Additional reporting by Nathan Layne)