Japan Relay Partners
Traditional search fund acquiring Japanese SMEs.
| Date | Investors | Amount | Round |
|---|---|---|---|
* | N/A | Growth Equity VC | |
| Total Funding | 000k | ||
Japan Relay Partners LLC is a traditional search fund established in Japan in 2024, focused on addressing the country's business succession crisis. The firm's primary business is to acquire a single small to medium-sized enterprise (SME) and install its founder, Yasushi Kobayashi, as the new CEO to lead its next phase of growth. This model emphasizes a "visible business succession," allowing the current owner to personally meet and build trust with the incoming leader before finalizing the deal, a key differentiator from typical M&A or private equity transactions.
The company was founded by Yasushi Kobayashi, who brings over a decade of international business experience from his time at Toyota Tsusho, a member of the Toyota Group. His career involved extensive work in expanding sales for Japanese products, including those from SMEs, across Central and South America and Asia. A significant part of his journey includes establishing a new company in Cuba from the ground up, where he served as CEO, managing all facets of the business. This experience, combined with an MBA from IESE Business School, fueled his passion for entrepreneurship and led him to create Japan Relay Partners to help preserve and grow the valuable technologies and services of Japanese SMEs.
Japan Relay Partners operates by raising capital from a pool of investors to fund the acquisition. Unlike traditional funds with fixed redemption periods, the firm takes a long-term approach to foster sustainable development in the acquired company. The business is supported by a network of 18 experienced professionals and 17 private and institutional investors from Japan, Europe, Asia, and the US, including notable firms like Inclusion Japan, Japan Private Equity, and Japan Search Fund Accelerator (JaSFA). The firm targets the significant market of Japanese SMEs, where by 2025, an estimated 2.45 million owners will be over 70, with nearly half lacking a successor.
Keywords: search fund, business succession, SME acquisition, M&A, private equity, Japan SMEs, succession crisis, long-term investment, founder-led acquisition, Yasushi Kobayashi, cross-border M&A, third-party succession, venture capital, family office, institutional investors, business revitalization, corporate succession, investment fund, management buyout, regional revitalization