The precoding scheme plays an important role in suppressing co-channel interference for downlink multi-user (MU) multiple-input-multiple-output (MIMO) communication systems. The effects of noise are not ignored in precoding scheme based on Signal-to-leakage-and-noise ratio (SLNR) and there are no limits on the number of transmit antennas. In this paper, a modified SLNR-based precoding scheme is presented, which can balance the channel gain for each stream per user by diagonalizating leakage-and-noise and the user’s channel matrices simultaneously. Simulation results show that better BER performance can be obtained by the proposed scheme as compared with zero-forcing (ZF) precoding and conventional SLNR solution.