OSAKA (Kyodo) Kiyo Bank, a regional based in Wakayama Prefecture, is planning to apply for a public injection of 20 billion yen to 30 billion yen in September under the government's bank recapitalization program, sources said Tuesday.
Kiyo Bank, which will absorb Wakayama Bank on Oct. 10, intends to use the funds to shore up its capital and strengthen investment related to information technology, the sources said. Both banks are under the umbrella of Kiyo Holdings Inc.
Kiyo Bank will file an application with the Financial Services Agency under a law designed to offer financial support to regional banks undergoing reorganization.