Rakuten Group mulling overhaul of financial business

Japanese online services giant Rakuten Group said Monday it is considering a major reorganization of its financial businesses.

The company gave no details, but the changes would likely boost management efficiency and strengthen cooperation between group firms.

NHK has learned that Rakuten aims to combine its banking, securities, credit card and other financial subsidiaries into one group by October.

Sources say that it appears Rakuten Group is considering abandoning a plan to get its securities subsidiary listed.

Rakuten Bank said separately that its board will discuss the reorganization at a meeting on Monday.

The group has posted net losses for five years in a row, largely due to its struggling mobile-phone business. It is aiming to streamline the financial business that has been doing well.

A restructuring of Rakuten is likely to intensify the fierce competition in the financial sector, coming at a time when individual investments and cashless settlements are gaining in popularity.