US private equity (PE) giant Blackstone is understood to be exploring exit options for Japan-based Ayumi Pharmaceutical Corp, in a deal that could value the specialty pharmaceutical company at at least $1 billion.
Bloomberg was the first to report the development, saying Blackstone was working with potential advisers on options including an initial public offering and a sale.
DealStreetAsia has also been able to verify the news. Blackstone declined to comment when contacted.
Ayumi Pharmaceutical was said to have attracted preliminary interest from companies in the industry and investment funds, per the Bloomberg report.
Blackstone announced the acquisition of Ayumi Pharmaceutical from local PE firm Unison Capital in 2019, as its first control PE investment in Japan.
Blackstone did not provide details on the transaction value, but media reports then pegged the investment at about $1 billion.
Ayumi has reorganised into a holding company structure, with Ayumi Pharmaceutical Holdings Co Ltd as the parent firm, which has three major shareholders, including Blackstone, TSE-listed healthcare group Toho Holdings Co Ltd, and Hisamitsu Pharmaceutical Co Inc, according to the holding company’s website.
In March, both Toho Holdings and Hisamitsu Pharmaceutical announced their acquisition of Ayumi shares from Blackstone. Toho Holdings said it had bought a 20% stake.
In addition to Ayumi Pharmaceutical, in Japan, Blackstone also invested in Takeda Consumer Healthcare, an over-the-counter medicines subsidiary of Takeda Pharmaceutical Co.
In February, DealStreetAsia reported that Blackstone closed its second Asia-focused private equity fund at $11 billion, one of the biggest PE vehicle dedicated to the region.
The New York-headquartered firm had closed its first Asia PE fund at $2.3 billion in 2018. By September, it collected over $7.8 billion for its third Asia real estate fund.
Today, Blackstone manages $951 billion in assets under management, including a pool of $283 billion private equity assets.