KKR Weighing Sale of $2 Billion Japanese Tools Firm Koki

(Bloomberg) -- KKR & Co. is considering a sale of its Japanese power tool and life science equipment maker Koki Holdings Co. amid interest from potential buyers, according to people familiar with the matter.

The New York-based private equity firm is working with a financial adviser on the potential sale of the business, which could fetch more than $2 billion, the people said. Other industry players and buyout firms have shown preliminary interest in acquiring the company, the people said, asking not to be identified because the matter is private.

Sale considerations are preliminary and the owner could still decide to retain the business, the people said. A representative for KKR declined to comment.

KKR bought Hitachi Koki Co. in 2017 for about $1.3 billion after completing a tender offer for the listed entity, whose biggest shareholder was Japanese conglomerate Hitachi Ltd. Later that year it changed its name to Koki Holdings and re-branded its power tools to HiKOKI.

Similarly, Chinese conglomerate Wanxiang Group Corp. is in talks to acquire Apex Tool Group from Bain Capital, Bloomberg News has reported. The business had also attracted interest from other investment funds, people familiar with the matter said.

©2021 Bloomberg L.P.