Mitsubishi UFJ Financial Group Inc. will sell ¥97.4 billion in securities to boost capital, increasing fundraising efforts as tumbling stock markets erode the value of its investments.
Japan's biggest bank will sell nondilutive preferred securities, it said Thursday. Mitsubishi UFJ raised more than $8 billion in a share sale last year.
Mounting losses on stockholdings are forcing the largest lenders to raise capital. The Nikkei stock average, down 18 percent this year, fell to its lowest point since 1982 this month. Mitsubishi UFJ lowered its profit forecast to ¥50 billion last month from ¥220 billion after recording its first quarterly deficit because of investment losses and bad-debt costs.
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