The Longreach Group has agreed to acquire full ownership of Hitachi Via Mechanics from parent company Hitachi, according to a joint statement.
Longreach would not comment on financial details. But a source close to the deal told Private Equity International that in Japan, the firm typically writes equity cheques in the range of $50 million – $200 million.
PEI’s source added: “Abenomics started the trend of Japanese conglomerates refocusing operations and this deal shows it’s continuing.”
Hitachi Via Mechanics manufactures micro-drilling machines for printed circuit boards and provides global customers with products including spindle drilling machines, laser drilling machines and pattern edging lithography equipment (exposure machines), according to the statement.
The company has also developed ultrafine and high precision drilling technology that meets requirements for the manufacture of smart phones and other mobile devices.
Last month, Longreach completed a partial exit of portfolio company Cybrid Holdings by selling part of the business to publicly-listed Japanese conglomerate NAC Co, PEI reported earlier.
The Longreach Group focuses on buyouts in Japan and Greater China in the mature industrial and technology, financial services, business services and consumer-related sectors. It has offices in Hong Kong and Tokyo and manages two funds with $1.4 billion of limited partner and co-investment capital.