SBI Holdings, a major online finance company, officially announced that Shinsei Bank will become a subsidiary as a result of the takeover bid for TOB = shares of Shinsei Bank, which has reached the upper limit of 48%.
SBI's policy is to acquire a majority, and the future focus will be on how to pave the way for the repayment of Shinsei Bank's public funds.
SBI held about 20% of the shares of Shinsei Bank, but has conducted a takeover bid with a deadline of 10 days with the aim of purchasing up to 48%.
As a result, SBI officially announced that it will become a subsidiary on the 17th of this month, with the voting rights ratio reaching 47.77%.
The predecessor of Shinsei Bank was the bankrupt former Long-Term Credit Bank of Japan, which was temporarily nationalized to dispose of a large amount of non-performing loans, and then bought by an American investment company or another investment fund became the largest shareholder. However, with this TOB, SBI is now under the umbrella of the group.
SBI intends to position Shinsei Bank as the core of the Group's banking business, and plans to acquire a majority stake after obtaining approval from the Financial Services Agency in order to further strengthen its involvement in management.
However, Shinsei Bank still has 349 billion yen of public funds that were once invested by the government, and the future focus will be on how SBI will pave the way for the repayment of Shinsei Bank's public funds.