Iyogin Holdings: Media report: Iyogin Holdings and Ehime Bank to merge Quick Note

Research evidence excerpt

Iyogin Holdings: Media report: Iyogin Holdings and Ehime Bank to merge Quick Note

Global Markets Research

24 July 2026Iyogin Holdings

5830.T 5830 JP / EQUITY: JAPAN BANKS

Media report: Iyogin Holdings and Ehime Bank to merge Rating Neutral

Target price JPY 3,600Quick Note

Closing price

Media reports on merger between Iyogin Holdings and Ehime Bank 23 July 2026 JPY 3,533

On the evening of 23 July, Kyodo News reported that Iyogin Holdings [5830] (Neutral),

which owns first-tier regional bank Iyo Bank in Ehime Prefecture, plans to merge with (Note: Quick Note reports are not a

second-tier regional bank Ehime Bank [8541] (Not rated). The report stated that the vehicle for changes to ratings, target

prices, or earnings forecasts)holding company could be set up as early as April 2027, with two group banks under its

umbrella. We have not confirmed the facts of the report, but our comments below assume

it is accurate.

(1) Combined basic data for the two banks: Iyo Bank had nonconsolidated deposits of Research Analysts¥6.7trn and loans of ¥6.1trn in 26/3 (a loan–deposit ratio of 91%). Ehime Bank had

deposits of ¥2.6trn and loans of ¥2.0trn (a loan–deposit ratio of 75%). The simple totals for Japan banks

the two banks combined are ¥9.4trn in deposits and ¥8.1trn in loans (a loan–deposit ratio Ryotaro Terazawa - NSC

of 87%). Consolidated shareholders' equity is ¥877.0bn at Iyogin Holdings, versus ryotaro.terazawa@nomura.com

+81 3 6703 1037¥144.0bn at Ehime Bank.

Ken Takamiya - NSC

We highlight the following point in particular. ken.takamiya@nomura.com

(2) Policy of maintaining group banks: It has become more common in recent years for +81 3 6703 1140

group banks to remain intact even after mergers. We think this is because it has become