Recently, according to report, private equity firm CVC Capital Partners is exploring a sale of FineToday Holdings, the Japanese personal-care company behind Tsubaki shampoo, after shelving plans for a Tokyo Stock Exchange listing, according to four people familiar with the matter.
FineToday postponed its IPO in October, citing unfavourable market conditions. The company had been expected to debut with a market capitalisation of about 169 billion yen ($1.08 billion), well below the roughly 219 billion yen valuation it had sought during an earlier listing attempt in 2024. Both outcomes fell short of CVC’s internal expectations, two of the sources said.
CVC is now said to be seeking a valuation of more than $2 billion—equivalent to around 14–15 times FineToday’s earnings before interest, taxes, depreciation and amortisation (EBITDA). Interest has emerged from global buyout firms and at least one Chinese strategic investor, although the identities of the potential bidders were not disclosed due to confidentiality.
The prospective sale comes as geopolitical tensions continue to cloud business ties between Japan and China. FineToday noted in its latest preliminary prospectus that sales in China and Hong Kong were hurt by consumer backlash against Japanese brands following the release of treated wastewater from the Fukushima nuclear plant in 2023. The company warned it remains vulnerable to any renewed deterioration in bilateral relations.
Formed in 2021 when Shiseido Co. carved out and sold its personal-care division to CVC in a 160 billion yen deal, FineToday manufactures and markets haircare, skincare and deodorant products under brands including Tsubaki, Fino, Senka, Uno, Ag Deo24 and Kuyura.
Overseas markets account for about half of its revenue, with China a key growth pillar. In the six months ended June 30, 2025, China and Hong Kong contributed 35.9% of sales, while Japan generated 44.3%, according to its IPO filing.
The company reported revenue of 107.3 billion yen ($688.66 million) in 2024 and 56.6 billion yen in the first half of 2025. Its adjusted EBITDA margin rose to 21.0% from 15.5% a year earlier—an improvement that may help support CVC’s higher valuation expectations as the sale process unfolds.
