From the linked Bloomberg report:
Nikko Cordial said earlier this week that it has been talking with Citigroup Inc. (NYSE:C) and Mizuho Financial Group Inc. (NYSE:MFG) to possibly expand their business alliance and boost their shareholdings. The firm has no need to raise capital to stay afloat though, Kuwashima said.
"By halting investments now Nikko is going to fall behind competitors in this area, putting them at a disadvantage,'' said Makoto Haga, who helps manage 40 billion yen at STB Asset Management Co. in Tokyo. "The impact on short-term earnings will likely be small though.''
Citigroup is Nikko's largest shareholder, with a 4.94 percent stake as of Sept. 30. Mizuho Corporate Bank Ltd. holds 4.89 percent of the securities company.
If you own Nikko Cordial, my advice is to hold. Or perhaps I should say if you purchased Nikko Cordial ADRs when I recommended them in 2005, keep holding. (If you followed my recommendations closely, you sold one-third of your position earlier this year to lock in a very nice gain.)
I could always be wrong, but I think Nikko will be around a good long while.