Japan's MUFG to Purchase Australia's Link Group in AU$1.11Bn Deal

​Mitsubishi UFJ Trust and Banking Corporation ("the Trust Bank"), a consolidated subsidiary of MUFG, announced on Monday (December 18) that it has decided to acquire 100% of the issued shares of Link Administration Holdings Limited ("Link Group"), an Australian-listed company, and to commence the process of incorporating Link Group as its subsidiary (the "Acquisition").

The Acquisition will be implemented by way of a Scheme of Arrangement ("SOA") under the Australian Corporations Act, which is a method of acquiring 100% of the shares of an Australian-listed company. 

The Scheme Implementation Deed ("SID") was signed with Link Group, setting out the terms of the agreement for the Acquisition. The implementation of the SOA and the acquisition of 100% of shares to complete the Acquisition is subject to the approval of the Acquisition by Link Group’s shareholders at its shareholders’ meeting, and the approval of the Australian court and regulatory authorities.

Link Group is the leading and largest Australian pension administration company, providing services to approximately 41% (10 million accounts) of Australian private pension members.

MUFG stated in the announcement: "This Acquisition of global pension and stock administration functions will enable MUFG to further accelerate its global business expansion via access to Australian funds and global corporate clients facilitating the Global IS Business in offering a broad range of solutions, allowing it to strengthen its global reach, develop growth opportunities, and expand its business scale."

The company added that the share purchase is expected to take place from June 2024 onwards if all proceeds as scheduled.