Gunma Bank and Daishi Hokuetsu Financial Group have formally announced plans to complete their management integration next April. Investment activity in regional revitalisation in Niigata is gathering pace.
Gunma Bank and Daishi Hokuetsu Financial Group (Daishi Hokuetsu FG), which agreed to integrate their management last April, plan to complete the integration through a share exchange effective 1 April next year. The exchange ratio will be 1.125 Daishi Hokuetsu FG shares for each Gunma Bank share. This will enable the 2 banks, which are regional banks of similar scale, to expand their geographic coverage and accelerate investment. As part of the process to date, the integration of Gunma Bank, which also has offices in the Tokyo metropolitan area, and Daishi Hokuetsu FG, whose main operating area is Niigata Prefecture, could serve as a precedent for cross-regional integrations in other areas.
Meanwhile, initiatives related to regional revitalisation in Niigata have accelerated both before and after the integration, and Daishi Hokuetsu FG is stepping up investment in regional revitalisation in Niigata. The group has announced the establishment of a new regional design company, “REGIONAL SHIFT,” and is investing in tourism, energy, healthcare, infrastructure and other fields through an investment in a large-scale resort redevelopment project in the Myoko area and the management of the public-private “Niigata Sustainable Regional Revitalisation Fund.”