First Japanese-Led Search Fund Completes Acquisition of TEG Consulting in Record 9 Months

Akiyama Capital Inc. (Headquarters: Delaware, USA; Representative: Shinemon Akiyama) announced today that it has raised a total of $5.1 million (approx. 810 million JPY) through a third-party allotment of shares. The round saw participation from 24 investors, including ICJ Fund of Search Funds, Theta Times Ventures, and various individual and corporate investors.

The proceeds will primarily be used for the acquisition of TEG Consulting, post-merger integration, infrastructure development, and strengthening the organization for future acquisitions. A 'Search Fund' is a business succession model originating from US MBA programs where entrepreneurs raise capital to acquire and manage established SMEs. This deal is recognized as the first case of a Japanese national successfully forming a search fund in the US and completing an acquisition.

Akiyama Capital reached this milestone in approximately nine months since its expansion into the US in August 2025—roughly 2.5 times faster than the industry average of two years. The target, TEG Consulting, is a 30-year-old executive search firm specializing in the Private Equity sector. Operating across four East Coast locations, its clients include major firms such as BlackRock and Ansell. Financial highlights for TEG include annual revenue of approx. 600 million JPY and an EBITDA margin of around 25%. The acquisition was executed at a multiple of 5x EBITDA, significantly lower than the US PE market average of 10-12x.

Moving forward, Akiyama Capital aims to execute a 'Roll-up Strategy' starting with TEG. By capturing the immense business succession needs resulting from the retirement of the baby boomer generation, the company plans to utilize LBOs for consecutive acquisitions and eventually list on the US market.