IGP-VP, J Front Retailing, and DBJ jointly establish JPY 30bn business succession fund “Pride Fund”

J. Front Retailing (JFR), the Development Bank of Japan (DBJ), and Ignition Point Venture Partners (IGP-VP) have jointly established a business succession fund and decided to name it the “Pride Fund.” The partners have launched the official fund website today and are commencing full-scale fund operations.

While there are many companies across Japan that provide excellent products beloved by their local communities, business closures due to a lack of successors, funds, and management know-how have had a significant impact on regional economies. As announced on January 18 of this year, JFR and IGP-VP have been preparing to establish a business succession fund as a mechanism to support regional communities and companies. They have now welcomed DBJ as a business partner and established the “Pride Fund” business succession fund.

The Pride Fund will invest in domestic companies rooted in Japan’s regional communities, focusing on the food culture sector. By leveraging the respective strengths of the three companies to support business succession, the fund aims to pass on content to the future and contribute to regional communities.

The fund is expected to reach approximately JPY 30bn and run for ten years. General Partners will be IGP-VP and J&D Regional Development, a 50/50 joint venture between JFR and DBJ, joined by Limited Partners JFR and DBJ.

The partners anticipate utilizing the following strengths of each company:

• J. Front Retailing: Providing sales channels, utilizing valuable customer assets, collaborating with other companies through supplier networks, supporting management personnel, etc.
• Ignition Point Group: Utilizing fund operation know-how, consulting expertise in areas such as management planning, business development, and operational efficiency improvement to add value to investees, as well as providing creative support like brand production and product planning.
• Development Bank of Japan: Providing financial expertise, etc.

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