Acquiring a 25 per cent stake in the Vietnam-based fund manager, ORIX intends to support Indochina Capital as a strategic partner in expanding the company’s
fund management and advisory businesses in Vietnam, one of Asia’s fastest growing economies.
Founded in 1964, ORIX is one of Japan’s largest integrated financial services groups consisting of six independent segments, including corporate financial services, real estate, investment banking, maintenance leasing, retail and overseas business. For the fiscal year ending March 31, 2010, the group reported total assets of $83.2 billion (JPY 7,739.8 billion) and net income of approximately $406 million (JPY 37.8 billion).
Previous advisory clients include SAB Miller, Morgan Stanley, Kajima and Shimizu Corporation. ORIX will provide advisory services to Japanese companies entering Vietnam and expand various business opportunities in collaboration with Indochina Capital.
With Indochina Capital’s assistance, ORIX will also actively expand and introduce various operations centered on its fee-based businesses in the promising Indochina market, a region where strong economic fundamentals and domestic demand are fuelling high growth in the private sector.
ORIX’s expertise and know-how will facilitate Indochina Capital’s expansion of its core fund management business, with separate strategies focusing on real estate, equities and infrastructure, as well as further develop the group’s financial and corporate advisory services.
Indochina Capital was established in 1999 as a fund management company headed by two former executives of prominent US investment banks, whose track records in Vietnam began in the early 1990’s focusing on real estate development, finance arrangement for investment purposes and corporate advisory services.
Recognised as one of the three largest asset managers in Vietnam, Indochina Capital’s institutional base of investors includes partners from North America, Europe and Asia.
Indochina Capital’s investment management platform commenced in 2004, and in 2005 the group launched Vietnam’s first real estate fund, Indochina Land Holdings.
The firm just closed its third fund, Indochina Land Holdings 3, and now manages a series of private, closed-ended real estate funds with approximately $500 million of capital
under management, which has been invested in projects in Vietnam totaling more than $1 billion.