SMBC buying Societe Generale's private banking business in Japan

Sale will allow SocGen to focus on other markets.

Sumitomo Mitsui Banking Corporation said it has agreed to buy Societe Generale's private banking business in Japan for an undisclosed amount. SocGen said SMBC's offer was unsolicited.

This private banking business is SocGen’s trust bank in Japan that provides services for wealthy clients. SMBC is a core banking unit of Sumitomo Mitsui Financial Group, Inc, Japan's third-largest lender by assets.

SocGen said the decision to sell the unit, which accounted for 3% of assets under management worldwide in SocGen's private bank as of March, will allow it to focus on markets where it wants to expand further.

These markets include Europe, the Middle East and elsewhere in Asia. Socgen said the deal would have no impact on the bank's liquidity at a group level.