NEW YORK (AP) -- Morgan Stanley says it signed a letter of intent to sell up to 20 percent of its company to Japan's largest bank, Mitsubishi UFJ Financial Group.
Financial terms of the deal were not disclosed. If the deal is completed, the price would be based on Morgan Stanley's book value after Mitsubishi completes due diligence.
Mitsubishi will be able to add one member to Morgan Stanley's board of directors.
Late Sunday, Morgan Stanley said it received approval from the Federal Reserve to change to a bank holding company.
Morgan Stanley Chief Executive John Mack says the deal would help expand the company's footprint and help in its transition from one of Wall Street's largest investment banks to a commercial bank.
(Copyright 2008 by The Associated Press. All Rights Reserved.)
To comment, the following rules must be followed:
Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.
Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Links require admin approval before posting.
Questions may be sent to email@example.com. Please provide detailed information.
Viewers with disabilities can get assistance accessing this station's FCC Public Inspection File by contacting the station with the information listed below. Questions or concerns relating to the accessibility of the FCC's online public file system should be directed to the FCC at 888-225-5322, 888-835-5322 (TTY), or firstname.lastname@example.org.