ARA Asset Management's assets jumped 93% after Cromwell acquisition

It now owns 19.5% of the Australian company's shares.

ARA Asset Management's assets (Suntec) ballooned 93% to $77.2b after acquiring 19.5% of Cromwell Property Group's shares, according to an announcement.

Listed on the Australian Stock Exchange (ASX) as a real estate investment manager, Cromwell has a market capitalisation of $2.1b (A$2.1b), a direct property investment portfolio in Australia of $2.5b (A$2.5b), and total assets under management in of $11.2b (A$11.2b) across Australia, New Zealand, and Europe.

“Through its partnerships with Kenedix (Japan) and Cromwell, ARA is set to accelerate its growth by offering new investment products and accessing new capital relationships in Japan, Australia and Europe,” ARA said in an announcement.

The company is also venturing into infrastructure business as its first infrastructure fund is to be launched in the third quarter of 2018.

Earlier in 2018, they entered a joint venture company with AVICT Trust in Beijing to capitalise on China’s real estate fund management market. ARA is also looking into a new retail REIT listing.

“Looking ahead, ARA will continue to pursue robust growth both organically and through new strategic initiatives, including M&A and joint ventures,” ARA Group CEO John Lim said.