Taiwan’s Chinatrust targets Tokyo Star Bank for US$580M

Taiwan’s Chinatrust is in talks to take over Tokyo Star Bank for US$580M.

The Taiwanese bank is expected to acquire a nearly 100 per cent stake in the Tokyo-based regional bank, with Lone Star Funds, Shinsei Bank and France’s Credit Agricole likely to make a decision on the offer early next year.

Chinatrust will need to gain the approval of Japan’s Financial Service Agency before the deal is struck. The acquisition by the Taipei-based lender would bolster its international operations and boost its retail banking business in Japan.

Tokyo Star has been troubled by a slump in earnings since the global financial crisis in 2008 and its shareholders have been looking for a buyer.

For more.