(Bloomberg) -- Blackstone Inc. will take a majority stake in a payment service provider under Sony Group Corp. for about $280 million, a person familiar with the matter said.
The world's largest alternative asset manager will buy 80% of Sony Payment Services Inc. in a transaction that is expected to be announced as soon as Friday, said the person, who asked not to be identified because the matter is private. A representative for Blackstone declined to comment. Sony didn't respond to requests for comment.
A household name for its electronics and entertainment offerings, Sony Group also operates a financial services business which includes Sony Bank and its subsidiary Sony Payment. Sony Bank will keep a 20% minority stake in the payment business, which is valued in total at 50 billion yen ($350 million), the person said.
Shares of Sony Group were little changed in early Tokyo trading Friday.
The deal comes as more Japanese corporations become open to selling off non-core business holdings, mainly to private equity investors eager to increase the value of the operations. Last month, Panasonic Holdings Corp. said it plans to sell part of its automotive systems unit to an affiliate of Apollo Global Management Inc.
Sony Payment offers payment processing services for business clients, similar to Block Inc.'s Square. In Japan, nearly two-thirds of payments are still made in cash, signaling potential for growth of electronic payments.
This will be Blackstone's first private equity deal in Japan in two years and its first in the financial technology space. The New York-based firm's existing private equity portfolio companies in Japan are in the health-care segment — Ayumi Pharmaceutical Corp. and Alinamin Pharmaceutical Co.
(Updates with market reaction in fourth paragraph.)
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