Hong Kong-based Dao Heng Bank Group is emerging as a strong mid-cap bank, well positioned to gain market share locally. The group has adopted a new logo and is promoting the company's brand, paving the way for a merger between its Overseas Trust Bank and Dao Heng Bank.
Dao Heng, whose corporate strategy is to provide efficient and effective banking and investment services in Hong Kong and China, aims to raise the bank's position through mergers and acquisitions in the SAR and better capital management.
While reducing its branch number from more than 90 in 1997 to just over 70 last year, the group is increasing its local presence through Internet and mobile-phone banking.
A recent report from Core Pacific-Yamaichi suggests a 'long-term buy' recommendation for Dao Heng as the brokerage sees growth through the group's collaboration with the Government in providing financial services to small and medium-sized businesses.
Graphic: now11gwz