Daiwa Securities to Boost Stake in Saigon Securities

Tokyo, Feb. 22 (Jiji Press)--Daiwa Securities Group Inc. <8601> is poised to make an additional investment in major Vietnamese brokerage firm Saigon Securities Inc., officials said Monday. The Japanese brokerage firm will increase its stake in Saigon Securities to some 15 pct from the current 10 pct and make it an equity method affiliate. The investment amount is projected at 2 billion to 3 billion yen. Daiwa Securities has also been in talks to invest in Malaysia's Affin Hwang Investment Bank since last year. The two are seen reaching an agreement that Daiwa will invest about 10 billion yen to acquire a stake of some 20 pct in the Malaysian investment bank. The Japanese company hopes to enhance cooperation with other financial institutions in Asia, where brisk growth is expected, and beef up the profitability of its brokerage and investment banking operations. Daiwa Securities made its first investment in Saigon Securities in 2007. After that, the Japanese company strengthened its relationship with the Vietnamese firm by dispatching an outside board member and raising its ownership ratio. Daiwa Securities formed a business alliance with Affin in 2013. END