Troubled staffing firm, Outsourcing Inc., will go private in a deal announced today. The Tokyo-based firm presently ranks as the 10^th-largest staffing provider in the world and currently trades on the Tokyo Stock Exchange. The transaction is styled as a management buyout with the backing of US-based based Bain Capital Private Equity.

Outsourcing’s board has already voted in support of the buyout, according to an announcement today.

In November, Outsourcing announced revenue of ¥551.7 billion (US$3.70 billion) for the first nine months, a year-over-year increase of 9.8%. Over recent years, the company has grown internationally through an ambitious acquisition strategy. However, the company also amended results for several past years because of fraudulent reporting. A series of investigations wrapped up on 14 November.

The deal represents a purchase price of JPY 1,755 (USD 12.24) per share, according to public documents filed by the company. Based on a calculation by Outsourcing, the aggregate tender offer price is JPY 221.13 billion (USD 1.53 billion).

Plans call for Haruhiko Doi, who presently serves as representative executive officer, chairman and CEO, to continue with the company as chairman after the deal. Doi presently owns 12.54% of the company.

Outsourcing has 236 subsidiaries, and its wide-ranging business activities include engineering outsourcing and temporary staffing for manufacturers. One division operates call centre and logistics services for public agencies such as US military facilities in Japan. Outsourcing operates globally.