Mitsubishi UFJ Financial Group has $7bn war chest for acquisitions

A Billion Dollars

'We’re going to make acquisitions on a scale we never have before'.

Bloomberg News reports that Mitsubishi UFJ Financial Group’s trust banking arm is seeking acquisitions abroad and has $9 billion to spend as it seeks to become one of the 15 biggest asset managers worldwide.

“We’re going to make acquisitions on a scale we never have before,” Mitsubishi UFJ Trust & Banking Corp. Chief Executive Officer Mikio Ikegaya said in an interview in Tokyo. The unit aims to boost assets under management to 100 trillion yen by as soon as 2020 from 60 trillion yen now, he said.

Under a strategy announced by MUFG in May, the financial group will transfer about 2,600 corporate accounts with 12 trillion yen in loans from Mitsubishi UFJ Trust to its main lending unit next year. Removing those assets from the trust bank’s balance sheet will free up capital for takeovers as it seeks to build a new business model focusing on fee-generating businesses like asset management and consulting, Ikegaya said.

Hit the link below to access the complete Bloomberg News article:

MUFG Arms Itself With $9 Billion War Chest for Acquisitions

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