Blackstone, Bain Capital and Warburg Pincus are preparing final bids for the property unit of Japanese broadcaster Fuji Media, with the sale expected to be valued at about 1 trillion yen ($6.3 billion), including debt.
The firms are among several global investors expected to submit binding offers for Sankei Building by the end of October. BGO, a real estate investment firm owned by Canada’s Sun Life Financial, is also preparing a bid.
If Fuji Media sells the entire unit, the transaction could become one of Japan’s largest real estate takeovers.
The proposed sale comes as Fuji Media faces pressure from activist investors to make better use of its property holdings and improve returns for shareholders. The company has been reviewing options for its real estate assets, including Sankei Building, since announcing a plan to consider divestments earlier this year.
One shareholder, Vasanta Master Fund, has called for greater disclosure around the sale, including the value of the assets, the proposed transaction structure and how the proceeds would be used.
Fuji Media is expected to seek shareholder approval after selecting a preferred bidder. The company said it is still evaluating the method, scale and timing of any investment in its property business.
The deal comes as foreign investors show increasing interest in Japanese real estate, supported by rising land prices, strong office demand and a weaker yen.
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