Mitsubishi UFJ Financial Group said Friday it would consider merging its investment banking unit with the Japanese operations of Morgan Stanley ( MS), according to reports.

Japanese public broadcaster NHK reported plans for the merger but didn't provide details or cite sources, the Associated Press reports.

"Assessing what kind of synergies there would be is something to be considered from now. There are many options including the establishment of a joint venture," Mitsubishi UFJ Securities CEO Yasumasa Gomi told Reuters.

Gomi said no agreement has been reached, contrary to the NHK report, according to Reuters.

A spokeswoman at Morgan Stanley in Tokyo said nothing has been decided but the two firms will continue talks on "all the options to maximize the strategic benefits of the global alliance," reports Reuters.

Mitsubishi UFJ last month agreed to buy a 21% stake in Morgan Stanley for $9 billion, making Mitsubishi UFJ the bank's top shareholder. And along with Goldman Sachs ( GS), Morgan Stanley last month registered with the Federal Reserve as a bank holding company.
This article was written by a staff member of TheStreet.com.