In preparation for the upcoming Lower House general election, top leaders of the Democratic Party of Japan and the Liberal Party agreed Wednesday that the two opposition parties will merge by the end of September.

DPJ President Naoto Kan and his Liberal Party counterpart, Ichiro Ozawa, reached the accord during a meeting at a Tokyo hotel. According to a written memorandum between Kan and Ozawa, the Liberal Party will be disbanded and absorbed by the DPJ, which will be the surviving party.

All of the policies, current executive lineup and party code of the DPJ will remain intact, which means the total dissolution of the Liberal Party.