The £2.24bn acquisition of Colonial First State Group will support MUFG to offer comprehensive solutions to its clients
Image: Mitsubishi UFJ completes acquiring Colonial First State Group subsidiaries. Photo: Courtesy of rawpixel/Pixabay
Mitsubishi UFJ Trust and Banking has completed the acquisition of nine subsidiaries of Colonial First State Group from Commonwealth Bank of Australia and its subsidiary Colonial First State Group in a deal valued at A$4bn (£2.24bn).
The nine subsidiaries represent the global asset management business of Colonial First State Global Asset Management (CFSGAM), which engage in the investment management business.
The businesses, supported by more than 800 professionals, handle asset classes such as equities, bonds, alternatives and multi-asset funds, for a diverse client base extending across Oceania, Asia, Europe and North America.
The nine subsidiaries of Colonial First State Group included Colonial First State Asset Management (Australia), Colonial First State Infrastructure, Colonial First State Managed Infrastructure, First State Investments Managers (Asia), First State Investment (UK Holdings), First State Investments (US), Realindex Investments, CFSGAM IP, CFSGAM Services, with locations across Sydney, Hong Kong, Singapore, London, Edinburgh, New York, etc.
With the deal now closed, MUFG, the parent company of Mitsubishi UFJ Trust and Banking, will continue to offer comprehensive solutions by maximising synergies with CFSGAM, MUFG Asset Management and other MUFG businesses.
The deal was announced last October
When the deal was announced last October, MUFG stated that its Asset Management & Investor Services Business Group aims to become “the unparalleled industry leader in Japan as well as a global player boasting significant presence overseas” complying with its medium-term business plan for the next three years from 2018.
To achieve this goal, Mitsubishi UFJ Trust and Banking has been pursuing growth, through inorganic investment, along with enhancing its asset management capabilities and product competitiveness.
It also stated that the deal will help Mitsubishi UFJ Trust and Banking in being able to meet its several of its client needs by expanding product lineup and improving its presence in the Asia/Oceania region.
Last month, Mitsubishi UFJ Trust and Banking obtained all regulatory approvals to complete the acquisition of Colonial First State Group subsidiaries.