Reuters – Mitsubishi Corp, Japan’s largest trading house, is to buy a stake in U.S. hedge fund manager Aladdin Capital Holdings LLC and set up a joint investment fund, the Nikkei financial daily said on Monday. <\/p>\n
Mitsubishi will pay $40 million for a 19.5 percent stake in Aladdin Capital, making it the second-largest shareholder, the Nikkei said.<\/p>\n
It will also spend $300 million to set up a joint investment fund with Aladdin Capital, hoping to attract investment from institutions, the Nikkei said. The partners aim to increase the fund’s assets to about $5 billion within five years, the paper said.<\/p>\n
The deal comes after Aladdin Capital, a specialist in corporate bonds, sought a capital injection from Mitsubishi after being hit hard by the global credit crunch, the report said.<\/p>\n