China Business Briefs 4/11/13

Hong Kong, November 04, 2013 — Moody’s Investors Service says that China Construction Bank’s (CCB,  A1/stable) acquisition of a stake in a Brazilian financial institution  will not materially change the bank’s credit profile.

On October 31, 2013, CCB agreed to purchase a 72% stake  in Brazil’s Banco Industrial E Comercial S.A. (Bicbanco, Ba1/negative) for BRL1.6 billion (approximately $723 million).  This is the first overseas acquisition by CCB since 2007. CCB’s  last acquisition outside of Mainland China was in 2007 when it bought  from Bank of Amercia, N.A. (A3/review for upgrade)  a 100% stake of former Hong Kong-based Bank of America (Asia),  which has been renamed China Construction Bank (Asia) (A2/Stable).

According to third-quarter reports, some commercial banks saw small increases in their ratio of non-performing loans. small.

Industrial and Commercial Bank of China Ltd (HKG:1398) last week said its ratio was 0.91 percent at the end of September, compared with 0.87 percent three months earlier.

HONG KONG, Nov 4 (Reuters) – Global private equity firm Blackstone Group has agreed to buy a 40 percent stake in Chinese shopping mall operator and developer SCP Co Ltd for an undisclosed value, SCP said in a statement on Monday.

SCP said in a separate statement that ICBC International Holdings, a unit of Industrial and Commercial Bank of China Ltd , has also agreed to buy a 6 percent stake in the company.

LONDON (Reuters) – China Construction Bank (CCB) , China’s No. 2 lender, is looking for acquisition opportunities in Europe but first needs to see regulators open their doors, its chairman told the Financial Times.

CCB Chairman Wang Hongzhang told the FT in an interview published on the paper’s website on Sunday that “CCB values the European market a lot.”

“If we can find suitable targets and the price is suitable and we get the regulators’ support, I think CCB will catch and seize the chance for mergers and acquisitions.”

Posted from Diigo.

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