Bain Capital LLC agreed Friday, June 22, to buy a 50% stake in Japan's leading TV shopping company from conglomerate Sumitomo Corp.
Bain didn't disclose any financial information about Jupiter, or put a value on the deal. Reuters reported that Bain paid around ¥100 billion ($1.3 billion) for the holding.
Bain spokeswoman Charlyn Lusk declined to comment.
The purchase of the stake in Jupiter Shop Channel Co. Ltd. is one of only a small handful of inbound buyout deals in recent years in Japan, which has become one of the most active outbound acquirers across a range of sectors. Boston-based Bain Capital has led the way among foreign private equity firms in the market. In October it agreed to buy Japanese restaurant chain Skylark Co. Ltd. from investors including Nomura Principal Finance Co. Ltd. for an equity value of ¥160 billion and in 2010 it bought the Japanese master franchisee of Domino's Pizza Inc. In December 2009 it acquired a 93.5% stake in Japanese call center operator Bellsystem24 Inc. from Citigroup Inc. for about ¥100 billion.
Jupiter is viewed by about 27 million households across Japan and broadcasts continuously.
"We believe the multichannel strategy leveraging TV platforms, the Internet, and mobile technologies offers significant future growth potential in combination with ongoing efforts to further increase customer satisfaction by enhancing Shop Channel's programming and services," Bain Capital managing director David Gross-Loh said in a statement.
Sumitomo Corp. has a market value of ¥1.36 trillion, hundreds of subsidiaries and affiliates, and a history stretching back more than 400 years.
Earlier this month, it was a junior member of a Sumitomo consortium that closed a deal to buy RBS Aviation Capital from Royal Bank of Scotland Group plc for $7.3 billion, setting an M&A record in the aviation-leasing sector.