1. Bank of Communications Ltd., part owned by HSBC Holdings Plc, wants to transform into a financial supermarket whose offerings include securities, trust products and insurance to lessen its dependence on lending, where competition from overseas is heating up.
2 It plans to buy 85 percent of Hubei International Trust & Investment Co for 1.22 billion yuan ($159 million) and rename the firm Bank of Communications International Trust & Investment Co. Trusts in China typically earn fees from packaging and selling investment products whose underlying assets include real estate and public works projects.
3. It wants to enter into brokerage and insurance operations with partner HSBC.
4. It plans to open branches in Frankfurt and Macau later this year.
5. It is looking for takeover targets. The bank's capital adequacy ratio, almost twice the regulatory minimum at above 15 percent, may give it flexibility to grow through acquisitions.
When the competition gets too hot in one area, spread out into others.
[Click here for full story at: BLOOMBERG.COM]
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