<div><p>TOKYO (Reuters) - Mitsubishi UFJ Financial Group, Japan's largest bank, priced a share sale at 428 yen on Monday to raise up to 1.03 trillion yen ($11.6 billion) to help meet stricter global capital requirements.</p><p>The new share issue will be a record for a Japanese firm, and the price of 428 yen represents a 3.2 percent discount from Monday's closing share price of 442 yen.</p><p>Shares of Mitsubishi UFJ have fallen 12 percent in the past four sessions as investors sold ahead of the expected new issuance.</p><p>Investors are unlikely to return to Japanese banks until they see details of stricter capital requirements, said analyst Shin Tamura of Barclays Capital in Tokyo.</p><p>"Are all the factors out? No, not yet," he said.</p><p>"We have to wait for the announcement from the Basel Committee."</p><p>The Basel Committee on Banking Supervision, which is made up of central banking and regulatory officials from nearly 30 countries, is putting together a package of stricter financial regulations following the credit crisis.</p><p>The committee is expected to publish a draft of its reforms by the end of January.</p><p>Analysts have estimated that two other major Japanese banks, Sumitomo Mitsui Financial Group and Mizuho Financial Group, may have to follow Mitsubishi UFJ and also raise more funds.</p><p>Japan's index of banking stocks is down 22.5 percent so far this year, making it one of the worst performers among the 33 sectors on the Tokyo stock exchange.</p><p>Shares of Mitsubishi UFJ ended down 2.9 percent at 442 yen, before the announcement. The banking index declined 1.6 percent.</p><p>($1=88.82 Yen)</p><p>(Reporting by David Dolan; Editing by Michael Watson)</p><img src="http://admatch-syndication.mochila.com/images/ad.gif?aid=65389651&bid=informcom" /></div><div id="copyright"><div>

Copyright 2009  <a href="http://www.reuters.com/finance">Reuters US Online Report Business News</a></div></div>