Seems to be fairly difficult for many people understand how to beat this guys since they try to fight him as a normal CPU char but his reactions times allow him to punish any move, he's also got a fullscreen damaging super (Ala OROCHI) so this will help you if you are stuck!

As I mentioned before he can punish ALMOST any special move or combo string, so your have got 2 choices:

• You use any grappling move in your arsenal ie. f, df, d, db, b + K from Kyo since boss will not counter those moves! just try to alternate since it will counter if you do it 3 times in a row.
  
• Second option is to just crouch with defense and wait for him, once it comes close do down + Strong Kick (knockdown), you can also use CD attack as well.

And that's it! if you alternate between those 3 options, either the time will run out or you might as well KO the boss.

Sometimes a simple approach is the best approach to solve a problem :D