Bank of China

CRE awaits HKCB buyout approval

PUBLISHED : Wednesday, 23 September, 1998, 12:00am
UPDATED : Wednesday, 23 September, 1998, 12:00am


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China Resources Enterprise (CRE) has yet to receive the necessary approval from the People's Bank of China and the Hong Kong Monetary Authority to enable it to proceed with its proposed general offer for all shares in HKCB Bank Holdings.

CRE, responding to speculation about the fate of the bid, said that because it had not received approval, the offer for HKCB remained a possibility only.

The company said the offer would proceed only after it had completed the acquisition of the remaining 50 per cent interest in Lippo CRE (Financial Services) for $1.18 billion announced on July 2.

Lippo CRE (Financial Services) - which is 50 per cent held by CRE and 50 per cent by Lippo China Resources - has at present a 60.6 per cent interest in HKCB Holdings.

CRE said approval from the People's Bank of China and the monetary authority formed part of the conditions for its acquisition of Lippo CRE (Financial Services), which had to be satisfied by September 30.

The company said it was inappropriate at this stage to speculate whether or when such approval could be obtained.