Sumitomo Mitsui Financial Group Inc. said Thursday it will acquire a roughly 10 percent stake in Japanese internet financial giant SBI Holdings Inc. in a deal worth 79.6 billion yen ($585 million) to strengthen its online brokerage service.
Through the capital alliance, the two financial giants aim to expand their customer base by making use of SMFG’s wide customer base ranging from retail and corporate clients and of SBI Holdings’ younger customers.
In a rare deal for a Japanese banking group to acquire a stake in a major online brokerage, the two partners will expand their alliance from their agreement in 2020 to cooperate in the digital field which included SMFG’s acquisition of a stake in one of SBI Holdings’ subsidiaries.
In a statement, SBI Holdings said it will issue new shares to SMFG, the parent of Sumitomo Mitsui Banking Corp. one of Japan’s megabanks through a third-party allotment.
This is not a CAPTIS article. Originally, it was published here.