ZCZC
BCN-28
AUSTRALIA-BANKING-MERGER-JAPAN-CBA-MITSUBISHI
CommBank sells asset management arm for nearly $3 bn
SYDNEY, Oct 31, 2018 (BSS/AFP) – The Commonwealth Bank of Australia on
Wednesday announced the sale of its global wealth management business to
Japan’s big-hitting Mitsubishi bank for almost US$3 billion.
In a statement, Australia’s biggest bank said it had entered an agreement
with Mitsubishi UFJ Trust and Banking Corporation — one of the largest banks
in the world — to complete the sale of the business by the middle of next
year.
CommBank has been trying to refocus efforts on its central banking
business amid a sector-wide scandal over the behavior of Australia’s
financial titans.
In addition to its wealth management arm, which invests and plans for rich
customers around the world, CommBank has indicated it may also offload its
mortgage broking businesses.
Mitsubishi CEO Mikio Ikegaya indicated that there were no immediate plans
to cut staff at the firm, known outside Australia as Colonial First State
Global Asset Management.
“We look forward to welcoming the full CFSGAM team to our group,” he said.
BSS/AFP/HR/1035