Trends in Japan’s private equity market and related considerations ―2024

2023 could have been called a new leap forward for Japan’s private equity industry. External conditions, including global financial circumstances, were a tailwind for Japan, and this had a major impact on the market. Specifically, the geopolitical situation focused on China, rising interest rates in most markets precipitated by global inflation, and the depreciation of the yen—all of these factors sparked renewed attention by global investors towards the Japanese market.

This report shows the two major trends drawing attention in the industry: secondary transactions, which are transactions between PE funds, and rollups, in which a portfolio company of a PE fund makes additional acquisitions (buy-and-build).