Taishin Financial seeks further diversification

Taishin Financial Holding will diversify its product lines after securing a deal to buy the local unit of New York Life Insurance Co.

Taishin Financial president Joseph Jao inked an agreement with Gary Benett, the US insurer’s chief executive in Asia, in Taipei to acquire 100 percent of its local unit for NT$100 million or US$3.3 million.

“We will seek next to strengthen our product lines and services, and will embark on favorable campaigns to advance the goal,” Taishin Financial spokesman Welch Lin said.

With 98 branches nationwide, Taishin Bank is the nation’s third-largest credit card issuer. The lender will maintain an open platform, Lin said.

Taishin Financial would seek to gain a better understanding of New York Life Taiwan before deciding whether it should adjust its business strategy or product lines, he added.

The group also needs to demonstrate its professional competence by putting together a management team to win approval from the Financial Supervisory Commission for the acquisition, Lin said.

With NT$40 billion in cash on hand, Taishin Financial does not need to raise capital for the buyout, Lin said.

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