CITIC Capital Partners, the private equity arm of CITIC Capital Holdings, has agreed to sell all of the shares of Narumi Corporation held by its funds to Ishizuka Glass Co. The investment was made through CITIC Japan Partners L.P., CITIC Capital Partners’ first Japan buyout fund.  The final deal closing date is planned for January 9 2015.

 

This is the fourth exit for CITIC Capital Partners Japan funds, which focus on supporting Japanese medium size companies in their efforts at international expansion, particularly to China.

 

Founded in 1950, Narumi is one of the world’s preeminent bone china and tableware brands.  The company has revenues of over 10 billion yen (US$85.34 million) a year.

 

In September 2006, Narumi conducted a management buyout (MBO) from the former Sumitomo Metal Industries (currently Nippon Steel & Sumitomo Metal Corporation) with investment support from CITIC Capital.  Since then, Narumi has weathered tough market conditions resulting from the decline in consumer demand caused by the 2008 global financial crisis and the earthquake and tsunami in 2011.

 

With the support of CITIC Capital, Narumi has expanded during the difficult environment through strengthening its brand and global manufacturing capabilities.  CITIC Capital has also introduced Narumi products to the China market, where it is now recognized as a leading tableware brand with a growing sales base.

 

Ishizuka Glass engages in the production and distribution of glass containers, glass tableware, paper packages, plastic containers, and ceramic products.  Both Ishizuka Glass and Narumi are headquartered in the Aichi prefecture of Japan.