Development Bank of Japan (DBJ) will pick up a 5% stake in New York-based investment banking firm BDA Partners as part of a strategic partnership.
BDA will also have access to future equity from the Japanese government-owned lender, the investment banking firm said in a statement. The companies did not disclose the deal value.
The two firms will jointly pursue merger and acquisition advisory and capital raising mandates connecting Japan with the rest of Asia, Europe and the US, BDA said.
Through this partnership, BDA will enhance its ability to serve clients in selling companies to Japanese buyers, it said.
No existing BDA shareholders are selling any equity in the transaction.
“Using DBJ’s knowledge and BDA’s expertise and overseas network, DBJ will offer customers integrated lending, investment and financial advisory services beyond Japan,” said Masanori Yanagi, president and chief executive officer of Development Bank of Japan.
“We consider Japanese companies to be vitally important to cross-border M&A going forward. DBJ offers exceptional client access, relationships and funding for the most promising Japanese companies in Southeast Asia and around the world,” said Euan Rellie, co-founder of BDA Partners.
Japanese government-owned DBJ has a total asset base of $148 billion. It provides financing, consulting and advisory services in Japan and internationally, including merger and acquisition advisory. It also handles capital raising mandates.
BDA Partners has been active in Japan for over 15 years, working on transactions involving clients and counterparties such as Asahi Glass, Inabata, Nissha Printing, Panasonic, Ricoh, Sumitomo Corporation, Totoku Electric, Toshiba Machine, and Yanmar.
It advises on mergers and acquisitions and capital raising. The firm is led by Euan Rellie, Charles Maynard and Andrew Huntley, who are senior managing directors and the three largest shareholders.
In 2011, global investment banking firm William Blair & Company formed a partnership with BDA Partners by making an undisclosed investment for a 10% stake in the firm.