Citigroup acquiring Bank of Overseas Chinese in Taiwan

Citigroup Inc. has announced that they are going to acquire Bank of Overseas Chinese in Taiwan. The deal is worth around NT$14.1 billion and it is going to be their third major acquisition in the region in the recent months.

The company already is the most profitable international bank in Taiwan.

Citigroup has already received acceptance for this deal from 29 percent of shareholders and this acquisition would help them expand their network in Taiwan fivefold to 66 branches.

The government itself blocks the existing banks to open new branches as they are hoping for consolidation in the market through such acquisitions.

Local market expert Eddy Yang had this to say: “It’s not easy for any bank to expand their branch network in Taiwan, and buying existing banks is the quickest way to achieve that.”

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