Sun Capital Partners has closed its Tokyo office following a decision by the firm to move away from platform opportunities in Asia.
“This decision was driven by the challenging economic conditions in Japan and across Asia, and we regret the impact on our former colleagues,” the firm said in a statement.
All eight investment professionals based in Tokyo have been made redundant as a result of the closure.
Japan’s economy, the second largest in the world, slipped into recession in November 2008 and last week recorded its worst performance in more than three decades.
Sun Capital has just one portfolio in the region, gelatine dessert maker Tarami, which the firm said has performed very well since its acquisition in 2007. Tarami was acquired just 10 months after the Tokyo office opened in September 2006, and was the firm’s debut investment in the region.
The firm said it will still consider add-on acquisitions based in Asia for its existing portfolio companies, and can tackle such opportunities from its offices in China.
It now has eight offices in total with three in the US- in Florida, New York and Los Angeles- as well as offices in London, Frankfurt, Paris, Shenzhen and Shanghai.
In early January, Sun Capital made 23 of its 200 employees redundant and said it was part of a strategic move to re-focus on its core practices.
Sun Capital was established in 1995 and has approximately $10 billion of equity capital under management, according to its website.