TOKYO Feb 20 Sumitomo Mitsui Financial Group
(SMFG) and Resona Holdings Inc are in talks to
merge their regional banks, sources with knowledge of the deal
said on Monday.
Japan's third-largest lender SMFG and fifth-largest Resona
own small regional banks catering to the city of Osaka and its
The two are in talks to combine SMFG's Kansai Urban Banking
Corp and Minato Bank Ltd with Resona's Kinki
Osaka Bank, said the sources, who did not want to be named as
they were not authorised to discuss the matter publicly.
The total assets of the three units slated to be combined
stand at about 11.8 trillion yen ($104.30 billion).
The Nikkei business daily reported that SMFG and Resona
would create a joint holding company that will own the three
But the sources told Reuters the structure of the merger had
not been decided.
Officials at SMFG and Resona were not immediately available
($1 = 113.1300 yen)
(Reporting by Taro Fuse and Taiga Uranaka; Editing by Himani