Japan’s Orix buys U.S. housing tax credit syndicator

Japanese financial services company Orix Corp has bought Boston Financial Investment Management, a U.S. money manager specialized in tax credit investments for low-income housing suppliers, two sources said on Saturday.

Orix paid several hundred million dollars to buy Boston Financial Investment Management, said the sources, who had direct knowledge of the deal but were not authorized to discuss the matter publicly.

The U.S. Low Income Housing Tax Credit (LIHTC) program gives tax credits for new construction and rehabilitation of rental housing for low-income households.

Housing developers can sell the granted tax credits to fund projects and buyers of the credits can enjoy tax benefits.

Boston Financial is one of the largest LIHTC syndicators, which raise money from investors and buy tax credits. It has raised over $10 billion from institutional investors for LIHTC investments in more than 2,200 properties, the sources said.

Orix, which bought investment manager Robeco from Dutch cooperative lender Rabobank in 2013, has been building up money management business overseas.

Orix and Boston Financial officials were not immediately available for comment.

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Reuters

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).   

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.