The state-backed Industrial Revitalization Corp. of Japan on Friday formally selected a consortium led by household product giant Kao Corp. as buyers of scandal-hit Kanebo Ltd. and Kanebo Cosmetics Inc.
In the deal, Kao will pay a total 410 billion yen to acquire Kanebo Cosmetics and its patents and other rights. The three investment funds in the victorious group -- MKS Partners Ltd., Advantage Partners LLP and Unison Capital Inc. -- will buy Kanebo Ltd. for an undisclosed sum. The two target firms were formed when Kanebo was split up after seeking the state's help to rebuild itself two years ago.
It was a rather ironic result for Kanebo, which snubbed Kao's offer to buy its cosmetics unit at the last minute and instead turn to IRCJ for help due to opposition from its union.