2 Regional Banks in Ehime Pref. to Integrate Biz Next April

Matsuyama, Ehime Pref., July 24 (Jiji Press)–Japanese regional lenders Iyogin Holdings Inc. and Ehime Bank, both in the western prefecture of Ehime, said Friday that they have reached a basic agreement to integrate their operations next April. Through the integration, Iyogin Holdings and Ehime Bank, both listed on the Tokyo Stock Exchange’s top-tier Prime section, aim to improve profitability by enhancing their business foundations and reducing costs, amid intensifying competition to increase loans and deposits following rising interest rates in Japan. Their combined assets reach more than 12 trillion yen on a consolidated basis. They plan to strengthen financial services for shipbuilders, shipping companies and paper manufacturers, which are main players in the prefecture’s economy. “We will contribute to the development of the regional economy by combining our strengths,” Iyogin Holdings President Kenji Miyoshi told a press conference in the prefectural capital of Matsuyama. Ehime Bank will become a wholly owned subsidiary of Iyogin Holdings, the parent of Iyo Bank. Both banks are slated to retain their current names and continue operating separately. Iyogin Holdings plans to submit a proposal to change its corporate name at its annual general shareholders meeting scheduled for June 2027. As of the end of March this year, Iyo Bank and Ehime Bank had 89 and 66 outlets, respectively, in Ehime. “We will consider branch consolidation,” Miyoshi said. END [Copyright The Jiji Press, Ltd.]