Tokyo-based Nikko Asset Management Co. and Paris-based Tikehau Capital are in advanced discussions to form a partnership in Asia that includes Nikko AM taking an equity stake in the alternative asset management firm, they said in separate statements on Dec. 18.
The partnership also includes distribution agreements in various Asian countries and a joint venture dedicated to private markets investment strategies, the statements said.
The equity stake acquisition could increase over time but will remain below the statutory disclosure threshold of 5% of share capital or voting rights, the Tikehau Capital statement said.
A Nikko AM spokesperson declined to provide further details about the acquisition plans but said that the partnership is in line with the $219.2 billion firm's plan to double its AUM by 2032 through both acquisitions and inflows.
"We have been looking for a strong partner in the private asset space that fits into our strategic global growth plan," said Stefanie Drews, Nikko AM's president, in the statements. "Asia is a critically important market for this asset class, and we are delighted that we are now progressing to this stage with a firm of the caliber of Tikehau Capital, with its long history of excellence and innovation."
Tikehau Capital plans to leverage Nikko AM’s distribution network in Asia. It will focus on core markets such as Singapore, Japan and South Korea, where it currently has offices, and extend its reach to other Asia-Pacific markets such as China, Thailand, Malaysia, and Australia, a spokesperson said.
Tikehau Capital had €42 billion ($44.4 billion) in AUM as of Sept. 30.
