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- Mitsui & Co., Ltd.
Corporate Communications Division
Mitsui announces that it has entered into a strategic relationship with Stone Point Capital LLC (Greenwich, CT, U.S.A), a private equity firm that manages private equity funds named the TRIDENT FUNDS, which specialize in the insurance and financial industries in the US and Europe. By this strategic relationship with Stone Point Capital, Mitsui intends to pursue, create and expand investments in insurance and reinsurance industries in Japan and Asian countries. Mitsui has also committed US$75 million as a limited partner in Trident IV, L.P., a newly established US$2.25 billion fund managed by Stone Point Capital.
The current management of Stone Point Capital led MMC Capital from 1998 to 2005, until Stone Point Capital was formed to acquire the business from Marsh & McLennan Companies. Stone Point Capital and its predecessor MMC Capital have over 20 years of experience and expertise in making investments in the insurance and financial services industries, having raised more than US$10 billion in committed capital. MMC Capital was involved in the establishment of ACE and XL in the mid 1980s and a number of other leading insurers in the 1990s and in recent years. These companies have played a significant role in the growth of Bermuda into one of the major insurance and reinsurance markets in the world. The companies established by Stone Point Capital have annual premium that represents approximately 60% share of the Bermuda market.
Mitsui has invested in several of the large companies established by Stone Point Capital, including those established when the world was in short supply of insurance and reinsurance capacity after the terrorism event of September 11, 2001 and hurricane Katrina in 2005. Mitsui has built a relationship of trust with Stone Point Capital through its dealings with them on these investments, which has led to the strategic relationship announced today.
Transportation Logistics Business Unit of Mitsui sets strategies to "provide core logistic services for the collaboration with other business units on Mitsui", "expand logistic business net work in potential market such as BRIC's and Middle East.", and "develop new logistic business activity utilizing financial function". Among the insurance businesses of this Unit, it manages "Mitsuibussan Insurance and Consulting Co., Ltd" (a consolidated subsidiary) which is a comprehensive insurance agent especially knowledgeable in commercial business, and "Mitsui Direct General Insurance Company, Limited" (an equity method affiliate company) which operates direct selling service of insurance by internet. Moreover, it also actively explores the business opportunities abroad and manages offshore captive insurance companies, a general insurance company in Germany and insurance agencies in Asia.
Mitsui seeks to accelerate its exploration for the opportunities to create and develop insurance and reinsurance business in Japan and other Asian markets by bringing together the advanced business models and expertise of Stone Point Capital and the extensive business platform and contacts of Mitsui.
Stone Point Capital LLC is a global private equity firm based in Greenwich, Connecticut. Stone Point Capital, which serves as the manager of the Trident Funds, has raised more than $10 billion in committed capital for investments in the global insurance and financial services industries.
Mitsui & Co., Ltd. is a global trade, investment and service enterprise with a revenue of ¥4,881 billions for the fiscal year ended March 31, 2007. As of March 31, 2007, the company maintains 160 offices in 69 countries and 565 subsidiaries and affiliated companies around the world.
This press release includes forward-looking statements about Mitsui. These forward-looking statements are based on the current assumptions and beliefs of Mitsui in light of the information currently available to it, and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. The risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest annual report on Form 20-F, which has been filed with the U.S. Securities and Exchange Commission.
This press release is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.