Taiwan’s Chinatrust Commercial Bank is in talks to take over a regional Japanese bank in what would be the first such foreign acquisition, a report said on Sunday.
The major Taiwanese bank has already told the shareholders of Tokyo Star Bank that it wants to buy a nearly 100 per cent stake for about 50 billion yen (US$580 million), the business daily Nikkei reported.
Although foreign funds have taken over Japanese banks before, no overseas bank has ever done so, it said.
Tokyo Star’s shareholders – including US investment fund Lone Star Funds, Japan’s Shinsei Bank and France’s Credit Agricole – are due to examine the terms of the proposed takeover early next year, the Nikkei said.
Chinatrust will make a final decision on the takeover price after examining the Tokyo bank’s assets.
It has branches in Tokyo and other Asian cities and is looking to increase its international earnings through the takeover, the Nikkei said.