Private investment firm Bain Capital has entered into definitive documentation to acquire Skylark Co Ltd, Japan’s leading family restaurant chain, from Nomura Principal Finance Co and other investors.
Bain Capital has acquired 100% of the company for an equity value of approximately USD2.1 billion (JPY160 billion). This transaction is one of the largest private equity purchases of a Japanese company, and the largest buyout in Japan in nearly two years.
Skylark, which began operations in 1970, has more than 3,600 outlets in Japan and overseas and about USD4.5 billion in annual revenues, making it one of the largest restaurant operators in Japan. Skylark operates under such names as Gusto Steak Gusto, and Jonathan’s, which are among the most widely recognised brands in Japan.
Bain Capital has extensive global experience in the restaurant industry, having made successful investments in Burger King Corp, Dunkin’ Brands and Domino’s Pizza. In each of these cases, Bain Capital has worked closely with the management teams to develop and implement innovative strategies to drive increasing customer traffic, higher customer satisfaction, and growth in store footprints.
“With our experience growing businesses in Japan and our global experience in the restaurant and retail sectors, we look forward to supporting Skylark’s continued growth as it builds upon its prime locations and strong brands,” says David Gross-Loh (pictured), a Managing Director at Bain Capital. “We believe there are opportunities for Skylark to expand its customer base and drive growth with a focus on innovative menu development, new offerings, and new marketing approaches.”
