Nomura to acquire Lehman's India operations

Japanese financial services major Nomura today said it will acquire battered Lehman Brothers' India operations, which would expand its workforce by about 3,000 employees.

As part of the deal, Nomura would acquire Lehman Brothers Services India, Lehman Brothers Financial Services (India) and Lehman Brothers Structured Finance Services, all specialised service companies based in Powai, Mumbai.

Nomura has entered into an agreement with Lehman Brothers Holdings Inc for the acquisition, the company said in a statement, adding that the buyout would add about 3,000 employees, including 1,200 IT professionals, to its global network.

However, the financial details of the buyout were not disclosed.

"The acquisition of Lehman's operations in Powai is an important component of our global expansion strategy. It will allow us to significantly enhance our global service platform to support the business expansion that the combined talents of Nomura and Lehman will drive going forward," Nomura's President and CEO Kenichi Watanabe said.

The transaction further demonstrates our commitment to create a world-class investment bank that delivers maximum value for Nomura's clients and shareholders, Watanabe added.

Battered by huge losses in the American mortgage market, Lehman Brothers filed for bankruptcy protection few weeks back with the US regulator. Since then, the firm has been disposing off its assets and Nomura had snapped up the investment bank's Asia-Pacific, European and the Middle East operations.

Lehman's North American operations were bought by British banking major Barclays.

Reportedly, the number of Lehman employees taken by Nomura would be over 8,000, once the Japanese firm acquires Indian operations.