The company that helped bring 11 herbs and spices to Japan more than 50 years ago has exited the business as part of a take-private deal completed this week.
Carlyle, the U.S. private-equity firm, said that it has completed a tender offer for KFC Japan, valued at $835 million, taking the company private.
In the process, Mitsubishi Corp., backed by the U.S. investment firm Berkshire Hathaway, has exited the business. Mitsubishi cofounded KFC Japan in 1970 and at one point held a controlling stake in the operation. Mitsubishi held a 35% stake in KFC Japan when the sale was first announced in May.
KFC Japan generated record profits in 2021 and maintained “stable performance in recent years.” Sales in the company’s fiscal year ended in March rose 11%.
Carlyle has a long track record operating international restaurants, including McDonald’s in China.
The firm said that it will work with KFC Japan management to accelerate store openings, enhance the menu and focus on digital innovation.
Carlyle has “an exceptional track record of operating global franchise businesses in the quick-service restaurant sector,” Richard Wallis, managing director of KFC Asia Pacific, said in a statement. He said KFC and Carlyle “are committed to unlocking further growth for KFC Japan.”
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