Nov. 13 (Bloomberg) -- Mizuho Financial Group Inc., Japan's second-largest bank by revenue, may issue 300 billion yen ($3.2 billion) in preferred securities to insurance companies to increase its capital, Nikkei English News reported, without saying where it got the information.

Mizuho contacted Dai-ichi Mutual Life Insurance Co., Meiji Yasuda Life Insurance Co. and Sompo Japan Insurance Inc., Nikkei reported. The bank declined to confirm or deny the report.

Mizuho's rival Mitsubishi UFJ Financial Group Inc. will issue 390 billion yen in preferred shares on Nov. 17 and 600 billion yen in common shares by the end of the year, the news service reported. Sumitomo Mitsui Financial Group Inc. may also issue preferred securities, Nikkei said.

To contact the reporter on this story: Silvia Cernea in New York at scernea@bloomberg.net

Last Updated: November 12, 2008 18:45 EST