Apollo Global Management has agreed to acquire Nippon Sheet Glass (NSG) in a transaction valued at approximately $3.7bn, marking one of the largest private equity deals in Japan and the firm’s biggest investment in the market to date, according to a report by the Financial Times.
The deal will see NSG raise around JPY165bn through a share issuance to Apollo, alongside a tender offer to acquire minority stakes at JPY500 per share, representing a premium to the previous closing price. The transaction will result in the company’s delisting.
Proceeds from the capital raise will be used to reduce debt, including liabilities tied to NSG’s 2006 acquisition of UK-based Pilkington. As part of the broader restructuring, Apollo will also support a JPY140bn refinancing backed by Japanese banks, effectively converting debt into equity and strengthening the company’s balance sheet.
NSG’s borrowings have grown to approximately JPY570bn in recent years, with the business facing sustained pressure from weaker demand in Europe, increased competition from lower-cost producers, and macroeconomic headwinds.
