CIMB created a strategic link to China with its acquisition of 19.99 percent stake in Bank of Yingkou.The CIMB Group, Malaysia’s second largest financial services provider and one of Southeast Asia’s leading universal banking groups, had announced its intention to purchase the 19.99 percent stake for US$95,627,142 cash as early as March last year. With the deal, CIMB also became the single largest shareholder in the largest commercial bank in Yingkou City, China."We believe that for a major Southeast Asian banking franchise, having a strategic link to China is an imperative for us. The global financial crisis has accelerated the time-frame for China’s emergence as the world’s largest economy making this move even timelier," said Dato' Sri Nazir Razak, CIMB Group's Chief Executive."We are delighted to have finally sealed this acquisition, obtaining all approvals and completing the necessary legal and financial reviews. Bank of Yingkou, a dynamic medium-sized bank in a high-growth region, is the right platform for our entry into China," Nazir added.Following the deal, the CIMB Group will send management professionals to Bank of Yingkou and also begin to offer assistance to the Group's customers from the region who are seeking business opportunities in China, particularly in the Liaoning Province.
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