Colonial First State Global Asset Management to be acquired by Mitsubishi UFJ for £2.2bn

Buying 100% of Colonial First State

Asset management business Colonial First State Group, a wholly-owned subsidiary of Australian financial group Commonwealth Bank of Australia, is to be acquired by Mitsubishi UFJ Trust and Banking Corporation for total cash proceeds of approximately A$4.0bn (£2.2bn).

The Japanese financial services group, which is a consolidated subsidiary of MUFG, has entered into an agreement to acquire 100% of shares in the nine subsidiaries of Colonial First State Group, which include its global asset management arm Colonial First State and First State Investments in the UK. The sale is expected to conclude in mid-2019. The transaction is part of MUFG's plans to become "the unparalleled industry leader in Japan as well as a global player boasting significant presence overseas", which sees it pursuing growth through inorganic investment. Financial Times reports...