BDO Unibank, Inc. is seeking full control of its joint venture with Tokyo-headquartered Nomura Holdings, Inc. in a bid to consolidate its brokerage business.

The Sy-led lender currently owns 51% of BDO Nomura Securities, Inc., while Nomura, through its unit Nomura Asia Investment (Singapore), holds the remaining 49% of the joint venture.

“The transaction will enable BDO to consolidate its securities brokerage business into BDO Securities Corp., which is being reorganized into a full service brokerage firm with an expanded product offering to include non-equity securities,” the bank said in a statement on Tuesday.

“The transaction is subject to further discussion and final agreements, in addition to any required corporate and regulatory approvals,” it added.

The joint venture arrangement between the two parties started in January 2016 and BDO Nomura Securities was launched in October that year.

BDO’s net income dropped 10.2% to P8.8 billion in the first quarter from P9.8 billion a year ago, dragged by weak capital markets which took a toll on the bank’s investment portfolio.

The lender’s shares closed at P102.70 apiece on Tuesday, up by P3.70 or 3.74% from its Monday finish. — L.W.T. Noble