China Trade Information

Shanghai Pudong Development Bank (SPDB)<600000>, one of China’s leading joint-stock lenders partly owned by Citigroup, announced on Wednesday it has achieved an agreement with Laishang Bank to pay RMB 378 million to buy 108 million shares, or 18% of the total equity of the latter, market sources reported.

Upon the completion of the acquisition, Shanghai-based SPDB will be the second largest shareholder of Laishang Bank.

Under the deal, SPDB will cooperate with Laishang Bank in a large range of areas including management, banking operation and staff training, the lender said in a filing with the Shanghai Stock Exchange.

However, the acquisition is still subject to approval from the banking regulator.

The Shandong-based Laishang Bank, established in 2005, booked a net profit of RMB 307 million last year and had total assets of RMB 12.92 billion as of the end of 2007.

On Tuesday, shares of SPDB dropped 0.98% to close at RMB 12.07.

Tags: china stock, Citigroup, Shanghai-Stock-Exchange

• Zijin Mining books a 96.21% surge on Shanghai debut (0)
• Zhongjin Gold’s shares go-ahead (0)
• Yuan ends the year 7 percent higher against US dollar (0)
• Voluntary info release urged (0)
• Ups and downs of shares tax since 1990 (0)
• TSEC head to expand capital market (0)
• TradeTech China (0)
• Trade surplus increases 47% in 2007 (0)