EVEN though Japan is a leading market in Asia alongside China, India and South-east Asia, investors have been reluctant to consider it as a core geography in their private equity allocations over the past few years.
The main reasons? Only a few deals are effectively closed each year, portfolio company growth was confined by a flat economy, and returns have been somewhat below expectation.
Nevertheless, different factors seem to be improving the investment environment. While Japan is still lagging behind...