MUFG Bank, Ltd. announces Regarding reorganization of overseas securities entities within MUFG

TOKYO--(BUSINESS WIRE)--MUFG Bank and MUSHD today announced that MUFG Bank will acquire 100% of shares of the following overseas securities subsidiaries¹ (MUFG Securities EMEA plc, MUFG Securities Asia Limited, and MUFG Securities (Canada), Ltd.) currently owned by MUSHD, making them direct subsidiaries of MUFG Bank (hereinafter, “group reorganization”). The reorganization is scheduled for July 1, 2025, subject to the completion of necessary procedures, including approvals from the relevant regulatory authorities in Japan and abroad.

1. Purpose of the group reorganization

The medium-term business plan (“MTBP”) of MUFG, starting from the 2024 fiscal year, established seven strategies dedicated to pursuing “growth” one of which is the “evolution of an integrated GCIB² /Global Markets³ business model".

Based on MUFG’s integration strategy, the GCIB Business Unit and the Global Markets Business Unit have promoted integrated operations between the overseas securities entities and MUFG Bank. However, in order to address the diverse challenges and needs of our clients within our international wholesale business, we consider it is essential to transcend the traditional boundaries of banking and securities operations to allow for more integrated group-wide decisions swiftly, allocation of resources flexibly and efficiently and establishment of a platform for further advancement in our business-support frameworks.

By integrating the management of the international securities business into MUFG Bank and reorganizing the overseas securities subsidiaries as direct subsidiaries of the Bank, we aim to strengthen the integrated operational framework of the Bank and Securities in our international wholesale business and to achieve the “evolution of the GCIB/Global Markets integrated business model” allowing for enhanced product competitiveness and value chain strengthening.

(Table 1: Expected effects through the group reorganization)
Areas	Main benefits expected
Decision-making	Swift decision-making from an integrated group perspective through integration of management control frameworks of the parent companies.
Resources	Flexible and efficient integrated resource allocation and utilization/development of human resources between the Bank and Securities.
Platform enhancement	Establishment of a platform for further advancement of integrated risk management, operations, and other business-support frameworks between Bank and Securities.

2. Management of the international securities business after the group reorganization

At present, the business of the overseas securities subsidiaries, including MUFG Securities Americas Inc., which is already a subsidiary of MUFG Bank, is managed by MUSHD based on its expertise. With the group reorganization, the capital relationships and management framework of the overseas securities subsidiaries will be integrated under the Bank. However, we will continue to leverage the expertise within the international securities business accumulated by MUSHD to manage the international securities operations. Additionally, while maintaining operational synergies between the domestic and the international securities businesses, we will work on establishing a management and business promotion framework that integrates the frameworks of both the Bank and Securities.

3. Future plans

Based on this decision, we will proceed with the necessary legal procedures, including obtaining approvals from the relevant regulatory authorities in Japan and abroad. Considering the preparation period required for these procedures, we plan to complete this Bank reorganization on July 1, 2025.

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About MUFG
Mitsubishi UFJ Financial Group, Inc. (MUFG) is one of the world’s leading financial groups. Headquartered in Tokyo and with over 360 years of history, MUFG has a global network with approximately 2,000 locations in more than 40 countries. The Group has about 140,000 employees and offers services including commercial banking, trust banking, securities, credit cards, consumer finance, asset management, and leasing. The Group aims to “be the world’s most trusted financial group” through close collaboration among our operating companies and flexibly respond to all of the financial needs of our customers, serving society, and fostering shared and sustainable growth for a better world. MUFG’s shares trade on the Tokyo, Nagoya, and New York stock exchanges. For more information, visit https://www.mufg.jp/english.

¹As MUFG Securities Americas Inc. is already a subsidiary of MUFG Bank, Ltd. through MUFG Americas Holdings Corporation (hereinafter, “MUAH”), a bank holding company, it is not subject to this bank reorganization.
²Global Corporate & Investment Banking Business Unit
³Global Markets Business Unit