(23 May 2008 – Hong Kong) ANZ has fallen out of the running to secure a bid for Hong Kong’s Wing Lung Bank.ANZ, which has been trying to secure the deal over recent months, has lost their chance to bid for a stake in the bank, according to The Sydney Morning Herald.
This leaves the China Merchants Bank as the preferred bidder. The bid is for a reported 53 percent stake in Hong Kong’s Wing Lung Bank.
Merchants Bank, China’s fifth largest by market value, is targeting Hong Kong’s banking market as the city builds closer ties with the mainland.
The bid by ANZ was part of its Asian expansion plans, which are primarily focused on taking advantage of the regions enormous growth.
The news comes at a time when ANZ is dealing with the Opes Prime situation domestically, but is not though to hurt their Asian expansion plans overall.
Wing Lung bank is family owned and has $12.6 billion of assets and 35 branches in Hong Kong, according to Bloomberg.
Anybody who bought the Wu family’s stake would have to make a full tender offer under Hong Kong law.