Analysing the case for an additional investment in Suruga Bank

研报英文原文证据摘录

Analysing the case for an additional investment in Suruga Bank

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Credit Saison (8253)

Analysing the case for an additional

investment in Suruga Bank

Maintain Rating: NEUTRAL | PO: 5,300 JPY | Price: 4,623 JPY

10 July 2026

Is a full acquisition of Suruga Bank a possibility under the Equity

recent share prices?

Credit Saison currently owns a 17.2% stake in Suruga Bank. Management has Natsumu Tsujino, CFA >> Research Analyst

consistently stated that having a bank within the group offers strategic benefits. BofAS Japan

+81 3 6225-8720

In this report, we examine scenarios involving additional acquisitions of Suruga Bank natsumu.tsujino@bofa.com

shares. If Credit Saison were to acquire 100% of Suruga Bank, EPS dilution could be

about 8% in a scenario with no synergies. By contrast, if ownership were increased only

to 40.1% or 50.1%, resulting in consolidation as a subsidiary, EPS dilution would be Stock Data

minimal. However, under a 40.1% or 50.1% ownership structure, if Credit Saison were to

Price 4,623 JPY

transfer loan assets to Suruga Bank in order to lower funding costs, much of the

Price Objective 5,300 JPY

earnings benefit would be attributable to non-controlling interests. We do not believe

Date Established 18-May-2026

the amount involved would be significant but we think this is inefficient. In addition,

Investment Opinion B-2-7

once a listed parent-subsidiary structure is created, the market may begin to anticipate a

52-Week Range 3,561-4,940 JPY

full acquisition, causing Suruga Bank's share price to pontentially rise further and

Market Value (mn) 857,311 JPY

increasing the eventual cost of acquiring the remaining shares. Taking these factors into

Market Value ($mn) 5,272 USD

account, we believe that a move toward full ownership is a possibility.