US-based financial services group State Street Corporation and Japan’s Mizuho Financial Group have entered into an agreement for State Street to acquire Mizuho’s global custody and related businesses outside of Japan.

Mizuho currently operates its global custody and related business outside of Japan through its local subsidiaries Mizuho Trust & Banking ( Luxembourg ), owned by Mizuho Trust & Banking and Mizuho Bank ( USA ), a wholly-owned subsidiary of Mizuho Bank. Both of these entities represent combined assets under custody, according to Mizuho, of approximately US$580 billion and US$24 billion in assets under administration.

After this transaction, Mizuho will leverage its expertise and network as one of Japan’s largest financial institutions to continue providing Japanese clients with trust and custody services for their domestic assets and will collaborate with State Street for global custody and related services.

The transaction is expected to be completed by Q4 2025, subject to the regulatory approvals and other closing conditions.

State Street established its business in Japan more than 35 years ago. With an experienced team of more than 500 employees in Japan, split between locations in Tokyo and Fukuoka, the group provides Japanese institutional investors with a comprehensive suite of services including trust, global custody, middle and back office outsourcing, data management, trading and financing solutions.

“Japan, Luxembourg and the United States are all important markets to State Street,” says Stefan Gmür, the financial services group’s head of Asia-Pacific and strategic business growth. “This transaction demonstrates our strong commitment to further accelerating our growth in these markets.

“Mizuho’s decision to entrust State Street with their valued clients affirms their confidence in our high-quality client service, industry-leading capabilities and commitment to product innovation and technology investment. With 35 years of experience on the ground in both Japan and Luxembourg, and our long history in the United States, State Street is well positioned to support Mizuho clients’ global growth and business transformation.”