Mitsubishi UFJ Trust seals A$4 bil. deal to buy 9 Commonwealth Bank firms

02, Nov. 2018

TOKYO, NNA – Mitsubishi UFJ Trust and Banking Corp. will buy nine asset management arms of the Commonwealth Bank of Australia for A$4 billion ($2.8 billion), pursuing its aim to become the largest asset management group in the Asia Pacific region.

The Japanese bank said Wednesday it had sealed the deal to take a 100 percent-stake in the nine major subsidiaries of Colonial First State Group Ltd., a wholly owned arm of Commonwealth.

The nine firms of the Australian group, with bases in Hong Kong, London and New York, manage combined assets worth about A$210 billion, the third largest in Asia excluding Japan, according to the Japanese bank.

It said the acquisition process will be completed by the middle of next year.

The Tokyo-based lender aims in its three-year management plan to dominate the Japanese domestic trustee market and boost its global presence through alliances and takeovers.

It is a wholly owned subsidiary of Mitsubishi UFJ Financial Group Inc., Japan’s largest financial institution by assets.