Nomura Securities plans to create the world's first fishery investmen fund. (Photo: M.Harvest/ Nippon Suissan / FIS)
Japanese giant to invest USD 1.6 billion in seafood industry
Monday, August 09, 2010, 22:00 (GMT + 9)
In what can be considered to be one of the most important fisheries-related news stories of this year, Nomura Securities Co. is creating the world's first investment fund specifically targeting international fisheries-related businesses amid growing demand for seafood worldwide.
The company has said that it has judged that fishery-related businesses will grow in the long term. According to Nomura, people in the United States and Europe are becoming more health-conscious while fish demand is also expected to rise in developing economies, reports Kyodo News International.
''We'd like to attract customers who have not been interested in investment funds,'' said one of Nomura's officials.
Nomura plans to assemble up to JPY 140 billion (USD 1.636 billion) through the fund from 9 to 19 August, while Amundi Japan Ltd., a Japanese arm of the French asset management company Amundi, will begin managing the fund on 20 August.
Amundi was established after the merger of asset management companies from Credit Agricole S.A. and Societe Generale. Amundi Japan manages JPY 3 trillion (USD 34.7 billion) as of 1 July 2010.
“Fishery is a growing industry globally, although it’s not recognised as such in Japan. Considering the demand for fish, profits of fisheries are not easily influenced by broader economic trends,” said Naoyuki Hamada, senior executive officer at Amundi Japan, in an interview with Bloomberg.
Around 30 per cent of the funds are to be invested in businesses in Japan, while around 40 per cent would be invested in the United States, according to Nomura.
The company also plans to invest in companies in emerging economies such as Thailand and Brazil, as well as in countries with more developed fisheries industries, such as Norway.
The fund's portfolio will initially consist of 40 to 70 stocks of companies involved in fishing, aquaculture, fishing equipment and companies in the food service industry.
Nippon Suisan Kaisha Ltd., Marine Harvest ASA, China Fishery Group Ltd. and Nutreco NV are among companies the fund will consider investing in. Other targets may include Jarden Corp., which sells fishing equipment, and Kappa Create Co., a sushi restaurant operator, said Hamada.
By Michael Loubet