Key Management Policies
The JAFCO Group’s management philosophy is “value creation through private equity”. Based on this philosophy, we aim to strengthen our profit base and boost profitability through the implementation of a “private equity value chain”.
Medium-to-long-term Management Strategy
The JAFCO Group aims to implement a four-stage “private equity value chain” to build a profit base that is not susceptible to volatility in the operating environment, steadily boost, profitability, and achieve sustainable growth.
The first stage in this chain is the creation of risk money through the establishment of new funds. Access to a large pool of investment funds is essential to taking advantage of investment opportunities in the rapidly changing PE market.
The second stage is investment. This involves building a portfolio by investing in carefully-selected companies of various sizes and growth stages, including incubation investment, investments in venture and midsize companies, and buyout deals.
The third stage involves boosting the corporate value of investees. We provide proactive management support to strengthen their business base and boost corporate value of our investees.
The fourth stage is increasing capital gains through IPOs, trade sales on M&A and achieving other appropriate exits, which are the result of the virtuous cycle that has been created through our private equity investment activities.
Finally, this strategy is implemented based on an efficient cost structure.