Nomura Moves Past Archegos With Australia, New Zealand Tie Ups

Nomura Holdings Inc. announced business partnerships at home, Australia and New Zealand as Japan’s biggest brokerage seeks to move past a $2.9 billion hit from the implosion of Archegos Capital Management.

Nomura signed an agreement with three regional Japanese banks to set up a joint venture to provide remote financial consulting services. It also struck up an alliance with investment bank Jarden Securities Ltd. to provide services such as stock and bond underwriting for clients in Australia and New Zealand, it said in separate statements on Monday.

Chief Executive Officer Kentaro Okuda is pushing ahead with his global ambitions, just weeks after the Archegos meltdown led to the Japanese firm’s biggest quarterly loss since 2009. At home, Okuda is proceeding with a project inherited from his predecessor to reinvigorate its domestic business serving retail investors, once a stable cash cow.

Shake Up

In Japan, Nomura’s venture with The Chiba Bank Ltd., Daishi Hokuetsu Bank Ltd. and Chugoku Bank Ltd. will offer clients remote consultations to help them build assets over the long-term. Nomura plans to take a majority stake in the joint venture, it said.

In the alliance with Jarden, the New Zealand bank will bring long-term relationships and expertise, while Nomura will provide its global network, products and balance sheet to support clients across equity capital markets, debt capital markets, and acquisition and leverage finance.

That alliance comes amid a shakeup in the investment banking industry in the region as Jarden, along with new firm Barrenjoey, have opened offices in Australia, hiring senior dealmakers from a number of global investment banks.

©2021 Bloomberg L.P.

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