Sumitomo Mitsui Financial Group Inc. announced Tuesday that it has offered UFJ Holdings Inc. a deal for the two banks to merge on an equal basis, in its latest attempt to woo UFJ away from rival Mitsubishi Tokyo Financial Group Inc.

UFJ has already signed a basic accord with MTFG to combine their operations in October 2005. The tieup would create the world's largest banking group, with assets worth 189 trillion yen.

UFJ has not announced any change in its plans to accept a capital increase from MTFG by the end of September and merge with the group later.