Sumitomo
Mitsui Financial Group, Inc.
Sumitomo
Mitsui Banking Corporation
Additional Acquisition
of Shares and Consolidation of
Sumitomo
Mitsui Asset Management Company
Tokyo,
May 12, 2016 --- Sumitomo Mitsui Banking
Corporation (SMBC, President and CEO: Takeshi Kunibe) today reached an
agreement with Sumitomo Life Insurance Company, Mitsui Sumitomo Insurance
Company, Limited and Mitsui Life Insurance Company Limited (collectively,
gShareholdersh) that SMBC will, subject to the relevant regulatory approvals,
acquire an additional 20.0% of the outstanding shares of Sumitomo Mitsui Asset
Management Company, Limited (SMAM) from the Shareholders (the gAdditional
Acquisitionh).
After the Additional Acquisition, SMAM will be a consolidated
subsidiary of SMBC. In addition, Sumitomo Mitsui Financial Group, Inc (SMFG,
President: Koichi Miyata) will acquire all outstanding shares of SMAM held by
SMBC, and SMAM will be a directly owned subsidiary of SMFG, which is contemplated
to take place in October 2016.
1. Purpose of the Additional Acquisition
Given the trend of gfrom savings to
investmenth, such as implementation of gNippon Individual Saving Accounth in January
2014, the asset management industry is growing year by year. In addition, due
to the introduction of gQuantitative and Qualitative Monetary Easingh in April
2013 and gQuantitative and Qualitative Monetary Easing with a Negative Interest
Rateh in February 2016 by Bank of Japan, we recognize increasing investor appetite
for asset management.
The aim of the Additional
Acquisition is to further enhance SMFGfs services to comprehensively meet its
clientsf needs for asset management.
We will utilize various group-wide
resources to grow SMAM to be chosen by clients for asset management. Also, we will
reinforce efforts to fulfill our fiduciary duty to provide enhanced
customer-oriented investment services.
2. Overview of the Additional Acquisition
The shareholding ratio after the Additional
Acquisition is described in the table below. The Additional Acquisition is
contemplated to take place by the end of July 2016, subject to the relevant regulatory
approvals.
Shareholders |
Shareholding
ratio |
SMBC |
60.0% (40.0%) |
Sumitomo
Life Insurance Company |
20.0% (27.5%) |
Mitsui
Sumitomo Insurance Company, Limited |
20.0% (27.5%) |
Mitsui
Life Insurance Company Limited |
| (5.0%) |
Note: The numbers in parentheses show the current
shareholding ratios.
3. Future course of action
As part of efforts to fulfill its fiduciary
duty, as stated previously, SMAM will be a directly owned subsidiary of SMFG.
[Corporate Profile of SMAM]
Company
Name : Sumitomo
Mitsui Asset Management Company, Limited
Primary
Business :
Investment
Management (Discretionary/Advisory)
Investment
Trust Fund Management
Location
of Head Office : 2-5-1
Atago, Minato-ku, Tokyo, Japan
Representative : Kunio
Yokoyama, President and CEO
Number
of Employees : 628
(as of March 1, 2016)
Assets
Under Management : Approximately
JPY 12,281 billion
(as of January 31, 2016)
End.