Mizuho Trust & Banking Co., Ltd.(President & CEO: Takeo Nakano, "MHTB"), a wholly owned subsidiary of Mizuho Financial Group, Inc.(President & Group CEO: Yasuhiro Sato) announced today that it has entered into an agreement with Hulic Co., Ltd.(President & CEO: Saburo Nishiura, "Hulic") to acquire the entire issued shares of Simplex Real Estate Management Inc.(President & CEO : Kiyohiko Tsukada, "SRM") and Simplex REIT Partners Inc.(President & CEO : Hiroyuki Katsuno, "SRP") from Hulic scheduled on December 15, 2015. (Hulic plans to acquire the above assets on November 30, 2015.)*
Simultaneously, MHTB will also purchase 11,265 investment units (15% of the issued investment units) of SIA REIT, Inc.("SIA REIT") from Hulic (all of the transactions mentioned above are hereinafter referred to as "this acquisition").
- *This acquisition will be executed through MHTB's wholly owned subsidiary, subject to any regulatory required approvals.
1. Reason of this acquisition
In order to enhance the asset management capabilities and expand the business areas, which are expected to further develop and expand, MHTB has decided to make SRM, an asset management company of private–placement real estate funds, and SRP, an asset management company of SIA REIT, its subsidiaries.
By utilizing abundant expertise of SRM and SRP, MHTB will develop an organizational framework to enable further exertion of their professional capabilities. Moreover, MHTB will strive to foster the business by providing MHTB's creditworthiness, information, and deal origination capabilities to both companies.
This acquisition is to enhance Mizuho's asset management business, which is one of its key focus areas. Mizuho also considers that this acquisition will contribute to the sustainable development of the J–REIT market by being a new sponsor for SIA REIT.
2. Scheduled closing date of this acquisition
October 28, 2015
December 15, 2015 (scheduled)
Signing of the agreements for this acquisition
Execution of this acquisition subject to the completion of necessary procedures with relevant authorities
3. Acquisition scheme (subject to any regulatory required approvals)
4. Overview of companies to be acquired
| (1) Company name | Simplex Real Estate Management Inc. | Simplex REIT Partners Inc. |
| (2) Head office | 3–3–2 Kasumigaseki, Chiyoda–ku, Tokyo | 3–3–2 Kasumigaseki, Chiyoda–ku, Tokyo |
| (3) President & CEO | Kiyohiko Tsukada | Hiroyuki Katsuno |
| (4) Principal business | Real estate investment advisory | Management of investment corporation of assets |
| (5) Capital | 100 million yen | 50 million yen |
| (6) Date of establishment | September 10, 2007 | July 1, 2005 |
| (7) Asset under management (as of June 30, 2015) | 76.7 billion yen | 74.3 billion yen |
| (8) Business result (Fiscal 2014) | ||
| Sales (million yen) | 1,839 | 347 |
| Ordinary income (million yen) | 1,310 | 66 |
| Net income (million yen) | 983 | 43 |
| Net income per share (yen) | 491,925 | 1,913 |
| Total assets (million yen) | 1,685 | 469 |
| Net asset (million yen) | 1,279 | 406 |