Japanese lender Bank of Yokohama and Higashi-Nippon Bank have agreed to merge under their new holding company Concordia Financial Group.
Under the terms of the merger deal, each Bank of Yokohama share will swap for one Concordia Financial Group share, and each Higashi-Nippon Bank share for 0.541 share of the new holding company.
The two lenders intend to launch joint branches and integrate their computer systems upon merger.
Following the merger, Bank of Yokohama president Tatsumaro Terazawa will assume the role of president of Concordia Financial Group, while Higashi-Nippon Bank president Michitoo Ishii will become vice president.
The transaction is subject to regulatory and shareholders’ approval of both the banks.