U.S. investment fund Cerberus Group will acquire a majority stake in Kokusai Kogyo Co. after the struggling company reduces its capital by 100 percent, sources said Tuesday.
They said Cerberus will also purchase some 500 billion yen in loans from the UFJ group and other lenders to Kokusai Kogyo for roughly 250 billion yen.
The transactions will make Cerberus the top shareholder and creditor in Kokusai Kogyo, they said. The company operates bus and taxi services, and runs hotel and real estate businesses.
It will be Cerberus' biggest investment and loan deal in Japan after such deals as the purchase of the old state-owned Nippon Credit Bank, now Aozora Bank.
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