Value: $460 million.

Deal: Baker McKenzie has advised Mitsubishi UFJ Trust and Banking Corporation (MUTB) on its agreement to sell its 15 per cent shareholding in AMP Capital to AMP Limited for $460 million.

Area: M&A, private equity.

Key players: The Baker McKenzie team advising MUTB includes Ben McLaughlin, Tetsuo Tsujimoto, Toshio Shimada, Lawrence Mendes, Byron Frost, Satoshi Abe, John Walker, Bill Fuggle, Jonathan Kelt, and Will Malouf.

Deal Significance: AMP has unveiled a “new strategy” for its investment arm involving the $400 million purchase of the 15 per cent stake in the funds management division held by Japanese financial institution Mitsubishi UFJ Trust and Banking Corporation (MUTB).

“The purchase of MUTB’s 15 per cent stake in AMP Capital provides strategic flexibility for AMP to position the business for its next phase of growth under new leadership,” said AMP chief executive Francesco De Ferrari.

“With the second wave of COVID-19 impacting the economy here and overseas, we expect conditions to remain challenging.”

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The company said the sale of its life insurance business helped strengthen its capital position, enabling it to return $200 million through a share repurchase and $344 million through a special dividend.

Lead M&A partners Ben McLaughlin and Tetsuo Tsujimoto said MUTB entered into a strategic business and capital alliance with AMP Capital in 2011. 

“Since then, MUTB has offered AMP Capital investment products to MUTB’s Japanese institutional and retail clients. Although the business and capital alliance will conclude, AMP Capital will remain an important partner of MUTB,” Mr Tsujimoto said.

“This M&A transaction follows on from MUTB’s acquisition last year of First Sentier Investors (previously called Colonial First State Global Asset Management) for $4.13 billion.”