StormHarbour Said to Buy Stake in Japan Hedge Fund Manager Asuka

Jun 23, 2014 11:36 pm ET

June 24 (Bloomberg) -- StormHarbour Securities, the closely-held investment bank, agreed to buy a 49 percent stake in Japanese hedge fund manager Asuka Asset Management Co., people with knowledge of the matter said.

StormHarbour may announce the deal as soon as this week, the people said. Asuka Chief Executive Officer Mamoru Taniya will become a managing principal at StormHarbour and oversee its asset management business, according to the people, who asked not to be identified because the information is private.

The investment is part of StormHarbour’s efforts to diversify from corporate advisory and trading into asset management. Asuka, which manages about 20 billion yen ($196 million) for a mostly Japanese client base, aims to tap StormHarbour’s global network and expand its assets under management to 100 billion yen within two years, the people said.

StormHarbour was founded in 2009 by former Citigroup fixed- income executives Antonio Cacorino and Fredrick Chapey with offices in New York and London. Last year it hired Kazunobu Ezawa, a former managing director at Morgan Stanley, for its Tokyo office to obtain more business from large Japanese companies expanding overseas through acquisitions.

Asuka was founded in 1999 as a unit of Tudor Investment Corp. It became independent following a 2002 management buyout, according to its website.

Spokesmen for StormHarbour Japan and Asuka declined to comment.