NAME: US Bancorp’s $8 billion acquisition of MUFG Union Bank
LAW FIRM: Nishimura & Asahi
JURISDICTION: Japan/US
PRACTICE AREAS: Corporate and M&A
INDUSTRY SECTORS: Banking and financial services
US Bancorp’s $8 billion acquisition of MUFG Union Bank is our deal of the month for October.
Nishimura & Asahi is advising Mitsubishi UFJ Financial Group (MUFG) on the sale of its subsidiary, MUFG Union Bank, to US Bancorp in a deal worth around $8 billion. The transaction includes $5.5 billion in cash and approximately 44 million shares of US Bancorp common stock that will make US Bancorp the fifth largest bank in the US. The acquisition is expected to close in the first half of 2022.
Upon completion, MUFG will hold a minority stake of approximately 2.9% in US Bancorp. According to the buyer’s press release, the acquisition will increase its customer base in California, providing benefits to customers and the communities through enhanced technology, products, and customer choice.
Based in Minneapolis, US Bancorp is the parent company of US Bank National Association. Its business mainly consists of consumer and business banking, payment services, corporate and commercial banking, wealth management and investment services.
The Nishimura & Asahi team was led by partners Yuji Shiga, Yoshiyuki Asaoka, Susumu Tanizawa and Keitaro Hamada.