Kobayashi Pharmaceutical, the Japanese health products company that was at the center of a supplement contamination scandal involving suspected deaths, is said to be considering a potential buyout offer of more than ¥500 billion ($3.2 billion) by private equity investors. CVC Capital Partners and Nippon Sangyo Suishin Kiko are weighing a bid to take the company private, people with knowledge of the negotiations said, asking to remain unidentified as the information is private. Kobayashi’s founding family may join in the buyout as well, the people added.
Kobayashi’s shares have languished since the supplement scandal came to light in early 2024 and remain about 13% below levels seen before the incident, making a potential deal more attractive to investors. The company had a market capitalization of around ¥460 billion as of Thursday’s close in Tokyo. That means shareholders are expected to get a premium, even though its exact magnitude isn’t decided yet.
Extract — continue reading at the source.
