TOKYO: Japanese buyout firms Japan Industrial Partners (JIP) and Polaris Capital Group are each considering participating in bids for Toshiba Corp , two people familiar with the matter said on Friday.

       Toshiba, which has been bedevilled by accounting and governance crises since 2015, set up a special committee last month to explore strategic options, including potential deals to go private, after shareholders voted down a management-backed restructuring plan.

       Both funds, far smaller than some global private equity firms, would need to team up with others, the sources said. The participation of local funds is seen as critical as some of Toshiba’s assets – including defence equipment and nuclear power – are seen as strategically important in Japan.

       The sources declined to be identified as the matter is private.

       It was not immediately clear if JIP and Polaris were already collaborating with other funds.

       Although not well known overseas, the pair have been involved in corporate carve outs and spin offs from Japanese conglomerates.

       JIP, for example, bought Olympus’ camera business last year and Sony Group’s laptop computer business in 2014.

       Polaris acquired Fujitsu’s mobile phone business in 2018. — Reuters