Global asset manager Aberdeen Standard Investments (ASI) on Monday announced that it has acquired Hong Kong-headquartered real estate manager Orion Partners for an undisclosed amount to boost its Asia Pacific presence.
Orion Partners, formed in 2000, is one of Asia’s first multi-strategy asset management firms. It manages approximately $900 million of direct real estate investments in Asia for international institutional investors.
The company’s focused teams manage private equity, real estate, credit and hedge funds supported by a core operations and administrations team. Its private equity funds focus on China, Japan, and Korea while its public equity funds invest throughout East Asia.
Orion Partners has offices in Hong Kong, Tokyo, Seoul, and Singapore.
“The transaction expands ASI’s global real estate capabilities and offerings with the addition of Orion Partners’ direct real estate team and established track record in Asia,” ASI said in a statement, adding that the deal signals its ambition to develop and distribute a wide range of Asia Pacific products to meet rising global demand.
Additionally, the acquisition adds to ASI’s $56.3-billion global real estate franchise, which makes it Europe’s second largest real estate investment manager.
ASI’s real estate multi-manager business has invested with Orion Partners in the Asia Pacific for more than a decade, according to Kang Puay Ju, head of Real Estate Asia Pacific and global head of Real Estate Multi-Manager at ASI.
“The addition of the on-the-ground direct real estate teams in Japan, Korea, Hong Kong, and Singapore will deepen our local insights and broaden our product suite across the region,” she said.
Asian real estate offers attractive risk-adjusted returns for investors seeking diversification, according to ASI’s Asia Pacific head Hugh Young. The acquisition, he added, will enable ASI to build out its regional real estate presence.
In January, ASI invested $13 million in insurance technology startup Singapore Life. The investment allows it to participate in the long-term growth of the next generation life insurance company as it expands its business across the Southeast Asian region, the company said in an official release.