Citigroup raises stake in Nikko Cordial to 68 pct

A woman walks past a sign of Nikko Cordial Corp. outside its branch in Tokyo in this April 27, 2007 file photo. Citigroup has raised its stake in Japanese brokerage Nikko Cordial Corp. to 68 percent this month from 61 percent, according to a filing to Japan's finance ministry.

TOKYO (Reuters) - Citigroup (C.N) has raised its stake in Japanese brokerage Nikko Cordial Corp. 8603.T to 68 percent this month from 61 percent, according to a filing to Japan's finance ministry.

Citigroup in April secured 61 percent of Nikko Cordial's voting stock in a $7.7 billion tender offer bid, with an aim to eventually turn Japan's third-biggest brokerage into a wholly owned subsidiary.

Securing more than a two-thirds stake would give the U.S. banking group better control over Nikko Cordial without worrying about potential veto moves from minority investors.

New York-based Citigroup is hoping to recover credibility at the scandal-hit Nikko Cordial, which escaped a threatened delisting by the Tokyo bourse over its accounting mess.