3i Completes Acquisition of Mizuho Investment

Private equity firm 3i Group has completed its acquisition of debt management business Mizuho Investment Management from parent company Mizuho Corporate Bank. The deal was valued at 18.3 million pounds ($29.3 million).

3i Group plc (“3i” or “the Group”) today announces the completion of the acquisition of Mizuho Investment Management (UK) Limited (“MIM”) from Mizuho Corporate Bank, Ltd. (“MHCB”). MIM is one of Europe’s leading debt management businesses with assets under management (“AuM”) of GBP3.7 billion.

The acquisition consideration is GBP18.3 million. The acquisition has received MIM investor consent and 3i has obtained regulatory approval from the UK Financial Services Authority.

MIM was established by MHCB in 2005 as its 100% owned asset management subsidiary. MIM specialises in the management of funds raised to invest in senior and subordinated corporate debt, providing investment advisory services in return for fees. MIM has a high quality loan portfolio and an established fundraising track record with a diverse investor base. MIM has built a strong team of 28 employees, has raised eight funds, totalling over GBP4.0 billion, since 2005 and had GBP3.7 billion AuM at 31 March 2010.

3i’s existing debt management activities will be merged with MIM to form a distinct business line, 3i Debt Management, with a total AuM of cGBP4.0 billion. Jeremy Ghose, CEO of MIM, will become Managing Partner and CEO of 3i Debt Management and will join 3i’s leadership team. Andrew Golding, 3i Partner and head of the banking team, will take the role of Managing Director.