Daiwa Shares Fall After Plans to Invest $330 Million in Aozora

Daiwa Securities Group Inc. shares tumbled after the firm said it will take a stake in Aozora Bank Ltd., which just suffered its first loss in 15 years.

Shares of Japan’s second-biggest brokerage fell as much as 6.4%, the most since April 2022. Aozora shares were trading 5.8% higher, the most in more than two months.

Daiwa will buy about 51.4 billion yen ($330 million) in newly issued shares from Japan’s Aozora, giving it roughly 15.6% of voting rights, the companies said Monday in a filing. This would make it the bank’s biggest shareholder, according to data compiled by ...