Nomura follows MUIP with an investment in Teamshares

Nomura has invested in Teamshares, a U.S. based startup company that offers an employee ownership succession model, about a month after MUFG Innovation Partners (MUIP) had announced their investment.

Founded in 2019, the Teamshares model aims to address the shortage of successors at baby boomer owned small businesses in the U.S., a challenge that is also prevalent in Japan.

Teamshares acquires small businesses from retiring owners, facilitating the transition of ownership to employees and offering business support services such as digital software implementation.

This innovative model focuses on gradually transferring capital to employees rather than seeking investment returns by selling equity to third parties. This allows for the transfer of ownership to employees, while preserving the management style and corporate culture to grow the companies. Teamshares has acquired 90 companies across 42 industries in the U.S. to date.

As part of its strategy to expand its business from public to private markets and promote regional growth, in 2021 Nomura established the Japan Search Fund Platform Investment Limited Partnership to provide solutions for domestic SME owners facing business succession challenges.

The investment in Teamshares will add to Nomura’s lineup of business succession solutions. Nomura will continue to expand its presence in the private markets by leveraging collaborations with domestic and international partners.

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