Japan’s Mizuhok Capstone to buy US private equity agent, sources told Reuters

TOKYO (Reuters) – Mizuho Financial Group plans to buy US private equity positioning agent Capstone Partners, a person familiar with the matter said, because the Japanese lender wants to strengthen its investment banking business.

In Dallas, Texas, Capstone helps private equity firms find limited partners to invest in their funds, helping raise private equity, credit and capital for infrastructure companies.

Following the acquisition, Capstone will be under the control of Mizuho’s holding company in the United States, where the Japanese investment bank is expected to help develop the investment bank’s business because the person said he did not want to be identified because the information was not made public.

Mizuho does not intend to disclose the cost of the purchase, the person added.

No one was immediately available for comment at Capstone’s Dallas office outside of normal business hours.

Mizuho, ​​who has been struggling at home to overcome a long series of system failures, will appoint Masahiro Kihara as its next CEO to address the issue.

The acquisition of Capstone is in line with the efforts of Japan’s largest banks to get more business abroad, especially in growing markets.

Of the three mega-banks, however, Mizuho has been slower than its larger rivals Mitsubishi UFJ (NYSE 🙂 Financial Group and Sumitomo Mitsui (NYSE 🙂 Financial Group.

The news was reported earlier in the business newspaper.