China’s most diversified investor took a step into Japan’s recovering real estate market last week when it bought real estate investment management company IDERA Capital Management Ltd from Japanese private equity firm Unison Capital. The deal was announced on IDERA’s website, without disclosing financial details.
By purchasing the Japanese company, Fosun, which consciously strives to follow the “Warren Buffett School” of diversified investing has now purchased assets in at least its seventh country worldwide, after earlier acquiring companies in Greece, Portugal, Germany, the US, and the UK, as well as in its home market.
The Shanghai-based conglomerate, which is said to be China’s largest private investor also has a deal pending to acquire France’s Club Med, in addition to attempting to buy-up a residential real estate site outside of Athens, Greece. Informed sources also report that company executives may also be looking for investment opportunities in Latin American markets.
Japan’s real estate prices have been recovering over the last several months as local and foreign investors gain confidence in the promise of the current administration’s Abenomics-led plan for rebuilding the long-stagnant economy.
Spreading Across Geographies and Industries
Fosun’s geographic reach is rivalled by the number of industries that it spans. Fosun originally started as a market research firm, but rapidly moved into pharmaceuticals and real state. Since then, it has diversified into insurance with the acquisition of the insurance arm of Portugal state bank Caixa Geral de Depositos SA, moved into resorts by buying into Club Med, partnered with Greek fashion retailer Folli Follie, and in Germany acquired shares in investment banks.
Last week, Fosun was said to be among several bidders for Australia’s Healthscope, the country’s largest provider of healthcare. In 2013, the company acquired New York’s Chase Manhattan Plaza office tower for US$725 million.
In China, Fosun is well known for its successful real estate development company, Forte.