Japan-based Mizuho Financial Group’s securities arm has reached an agreement to buy a 19.99% stake in Rakuten Group’s securities subsidiary for JPY80bn ($552m).

With headquarters in Tokyo, Rakuten Securities offers online brokerage services.

As part of the new deal, Rakuten Securities will transfer the stake to Mizuho Securities in the form of common stocks.

Following the transfer of shares, Rakuten Securities will continue to operate as a consolidated subsidiary of the Japanese e-commerce giant and Rakuten Securities Holdings.

With the deal, Mizuho aims to add Rakuten Securities’ online brokerage offerings and compete with rivals in the digital brokerage market.

Both the firms also seek to attract new clients from a various generation through the deal.

The deal is expected to be completed by November 1 this year.

In addition, the strategic alliance will see the formation of a new integrated asset management consulting service.

The firms also looking to develop household finances through the partnership.

The latest move comes shortly after a Bloomberg reported that stated that Mizuho Financial plans to almost double its wealth management clients by next year.

In recent years, the Japanese lender also augmented its debt underwriting offerings in the US after the purchase of Royal Bank of Scotland’s North American corporate loan unit.