New Horizon Capital to raise Fund II

The Japanese mid-market buyout firm is targeting up to ¥50bn for its second fund, which is looking for a close in March next year.

New Horizon Capital (NHC) has launched its second buyout fund, which is targeting a close of between ¥30 billion (€227.4 million; $338.7million) and ¥50 billion by March next year, chief executive officer Yasushi Ando confirmed to PEI Asia.

Fund II will focus on investments in small-to medium-sized businesses and will seek to raise capital from both domestic and foreign institutional investors, a spokeswoman stated.

NHC’s first fund, which saw a first close in 2007, is currently about ¥12 billion in size and is expected to see a final close in August or September this year. Fund I’s limited partner base consists mostly of domestic financial institutions.

Thus far, Fund I’s sole deal has been an undisclosed investment into Housetec, a manufacturer of housing equipment and environmental facilities such as septic tanks. That deal was made in 2007.

New Horizon Capital was formed in late 2006 as a spin out from another Japanese private equity firm, Phoenix Capital, which was formerly helmed by Yasushi Ando. The firm is a mid-market buyout specialist led by five partners operating from its office in Tokyo.