NTT Docomo plans to launch a tender offer for SBI Sumishin Net Bank, seeking to acquire roughly two-thirds of the digital lender’s shares in a deal that would position Japan’s largest wireless carrier as the final major telecom to establish banking operations.
The acquisition follows months of market speculation that intensified after the bank’s shares tumbled 12.5% in February when investors grew disappointed with NTT’s non-committal stance during earnings calls. SBI Sumishin Net Bank’s stock had surged 50% over 10 weeks on acquisition rumors before that selloff.
SBI Holdings, which holds about 34% of the bank, will divest its entire stake to Docomo, while Sumitomo Mitsui Trust Bank will retain its approximately 34% holding. The plan involves delisting the digital bank and converting it into a private entity owned by Docomo and the trust bank.
The deal would complete a strategic shift across Japan’s telecom landscape. KDDI operates Jibun Bank through a joint venture with Mitsubishi UFJ, SoftBank controls PayPay Bank with over 68 million users, and Rakuten runs Japan’s largest digital bank by account volume with 11 million customers.
SBI Sumishin Net Bank went public in March 2023 at ¥1,200 ($7.65) per share, valuing the company at ¥180 billion ($1.15 billion). The bank operates over 4 million accounts with ¥5.5 trillion in deposits and has originated more than ¥6 trillion in mortgage loans.
A joint announcement from all parties could come as early as Thursday.
