Lovell Minnick Partners said Wednesday it has agreed to sell a portion of its stake in Matthews International Capital Management LLC (“Matthews Asia”) to Mizuho Financial Group. Financial terms weren’t announced. Matthews International Capital, of San Francisco, is an Asia investment specialist. Lovell acquired a minority stake in Matthews Asia in early 2011. RBC Capital Markets advised Lovell.
Radnor, PA – September 30, 2015 – Lovell Minnick Partners, a private equity firm specializing in financial and related business services companies, today announced the signing of a definitive agreement to sell a portion of its stake in Matthews International Capital Management, LLC (“Matthews Asia”) to Mizuho Financial Group (“Mizuho”). Lovell Minnick Partners will remain a minority equity holder in the independent investment manager, which is the leading Asia investment specialist in the United States. Terms of the private transaction were not disclosed.
Lovell Minnick Partners acquired a minority equity interest in Matthews Asia in early 2011. The firm provides investors with a broad range of choices for building a global portfolio that includes exposure to one of the world’s fastest-growing regions. Since Lovell Minnick’s investment in early 2011, Matthews Asia has launched several new investment strategies, doubled its employee headcount, and increased its assets under management from $19.1 billion to $26.2 billion as of August 31, 2015.
“We are pleased to remain a significant shareholder in Matthews Asia, and to continue to support the company’s growth,” said Jeffrey D. Lovell, Chairman and Chief Executive Officer of Lovell Minnick Partners. “Mizuho is a world renowned institution and we are confident their role as a new shareholder will be instrumental to Matthews Asia’s continued progress.”
“Regarded as a preeminent global financial institution, Mizuho’s investment in our firm is an endorsement of the success Matthews Asia has achieved for our clients over the past 24 years,” said William Hackett, Chief Executive Officer of Matthews Asia. “Mizuho’s investment will help ensure continued long-term stability of ownership while retaining our independence. We appreciate Lovell Minnick’s support in facilitating Mizuho’s investment.”
The transaction is expected to close by the end of the first quarter 2016 and is subject to customary closing conditions, including receipt of any required regulatory approvals.
RBC Capital Markets and Kirkland & Ellis LLP are serving as advisors to Lovell Minnick Partners on the transaction.
About Lovell Minnick Partners
Lovell Minnick Partners LLC is a private equity firm with expertise in investing in the financial and related business services sectors. Lovell Minnick provides developing companies with equity capital to support private company recapitalizations, leveraged buyouts, and pursue growth initiatives. Since its inception in 1999, Lovell Minnick Partners has raised over $1.4 billion in committed capital and has completed investments in over 30 companies. Targeted investment areas include asset management, financial product distribution, insurance, banks, specialty finance, and related technology and business services. For more information, please visit www.lovellminnick.com.
About Matthews Asia
Matthews Asia is an independent, privately owned firm and the largest dedicated Asia investment specialist in the United States. With $26.2 billion in assets under management as of August 31, 2015, the firm focuses on investing solely in Asia. It is the investment advisor for the Matthews Asia Funds, a group of 16 open-ended equity and fixed income mutual funds organized in the U.S. and 11 SICAVS registered in Luxembourg.