Dah Sing takes over Wing On

THE acquisition of Wing On Bank by Dah Sing Financial (Holdings) hit the headlines in October.

Dah Sing, which also owns the Hong Kong Industrial and Commercial Bank, looked set to lose the banking licence it held for Wing On Bank unless it could present a justifiable case for keeping it.

After a transition, a bank must prove it has a good commercial case to retain a licence.

For example, Guoco acquired the troubled Hang Lung Bank in 1989 and merged it with its own banking subsidiary, Dao Heng Bank. The banking licence was later surrendered to the government.

Dah Sing acquired Wing On Bank's 16 branches last November from Hang Seng Bank.