National Search Fund targets €25M with the launch of its second fund

Founded in 2022 by Kenta Maeda and Naoya Tsukihara, National Search Fund (NSF) launched its first investment vehicle, Search Fund Future Creation, in 2023 with ¥1 billion (€6.2M) in partnership with the Bank of Yokohama, part of the Concordia Financial Group. The fund was established to address business succession challenges in Kanagawa Prefecture and Tokyo by identifying and introducing the next generation of managers to companies lacking successors.

After two successful years proving the model’s viability—having facilitated the buyouts of multiple companies, including Pine Valley (a retailer of custom parts and accessories for Harley-Davidson motorcycles), Yahisma Foods (a tofu manufacturer and distributor), and Tokyo Vision (an importer and distributor of international video content for Japanese TV stations)—NSF has decided to launch NSF Fund No.2. Meanwhile, other searchers, such as Nobuyuki Kato and Aoxiang Bow, are still in the process of acquiring a business.

This new investment vehicle targets ¥4 billion (approximately €25M), with more than 60% of the capital already secured. The fund aims to invest in 5 to 10 SMEs, primarily in the Tokyo metropolitan area, while also considering nationwide opportunities. NSF is currently onboarding a dozen new searchers to support its expansion efforts.