Funds under global alternatives firms PAG and KKR are acquiring 100% of the shares of Sapporo Real Estate, from Japanese brewer Sapporo Holdings, the firms said in a statement.
The transaction is valued at 477 billion yen on an enterprise value basis, including SRE’s debt. Tokyo-listed Sapporo Holdings is expected to record accounting gains of an estimated 330 billion yen from the divestment in 2026.
The deal will close in stages over three years, with the first tranche of the sale, representing 51% of the stake in SRE, expected to close on June 1, 2026. The acquisition is expected to be completed by June 2029.
Sapporo is expecting to reinvest the proceeds of the divestment primarily in growth initiatives within its alcoholic beverages business.
According to a Sapporo Holdings presentation, certain assets held under SRE will be excluded from the transaction and will be utilised to enhance the value of its core alcoholic beverages business instead.
These include 30% of Yebisu Garden Place, part of Sapporo Garden Park, and Ginza Place, which will be transferred instead to another wholly owned subsidiary, Sapporo Breweries.
The group’s real estate unit grew out of its efforts to redevelop its former brewery sites in Ebisu and Sapporo. Proceedings to divest the business started in September last year, following a process that explored “all conceivable options” for the real estate assets, including injecting external capital, asset sales, and spin-offs, Sapporo Holdings said.
