Consumer loan lender Orient Corp. said Wednesday it will receive a 290 billion yen capital injection from Mizuho Financial Group and other companies to wipe out a negative net worth it will develop due to huge losses in the 2006 business year.
Of the total, 150 billion yen will come from the flotation of preferred shares and the remaining 140 billion yen will be procured via a debt equity swap. Both deals will be completed May 2.
Orient also said in a statement that its common stock may be transferred to the second section of both the Tokyo Stock Exchange and the Osaka Securities Exchange from the first section because the company will sink into consolidated negative net worth of 137.8 billion yen.