Advantage Partners invests in Narel Group, which successfully listed on the Tokyo Stock Exchange, leveraging its innovative technician dispatch model in a growing market.

Target Information

Narel Group Inc. has successfully made its debut on the Tokyo Stock Exchange Growth Market (Stock Code: 9163) as of July 21, 2023. The investment was initiated by Advantage Partners, a private equity fund, with the objective of supporting the company's IPO. The founding members decided to divest part of their shares while also reinvesting to remain involved with the company, marking a trend in investment types stimulated by a revitalized IPO market. Despite the challenges posed by the COVID-19 pandemic and fluctuations in the equity markets triggered by the collapse of overseas financial institutions, Narel Group achieved an early IPO approximately three and a half years after the investment was made.

Narel Group operates with four main business segments. These include World Corporation, which specializes in dispatching engineering technicians, ATJC, which provides IT technician dispatch services, Contraf, which runs a human resource platform, and the National Construction Contractor Association, a non-profit organization that offers vocational introduction services for craftsmen. By being one of the first in the industry to adopt a business model that hires inexperienced personnel as full-time employees and educates them, Narel Group has established itself as a leading entity in the technician dispatch industry.

Industry Overview

The technician dispatch and IT service industry in Japan is currently benefiting from a growing demand for skilled professionals, driven by advancing technology and evolving industry needs. This has impacted the construction and IT sectors, where