The state-owned Bank of Taiwan (台灣銀行) may revive a plan to acquire smaller state-owned rival Land Bank of Taiwan (土地銀行), paving the way for the creation of the nation's largest bank and a regional heavyweight, the lender said yesterday.
"We are open to any growth options, including further mergers and acquisitions with the lender [Land Bank of Taiwan] as a possible target," Bank of Taiwan chairman Tsai Jer-shyong (蔡哲雄) said during a press conference yesterday.
The bank should grow to at least US$200 billion in assets to be able to compete with international rivals, Tsai said.
Bank of Taiwan currently controls more than US$100 billion in assets after taking over its smaller state-run competitor Central Trust of China (
Tsai, 61, formerly the chairman of the Land Bank of Taiwan, officially took the helm of the nation's biggest bank yesterday, replacing Hsu Teh-nan (許德南), who now chairs the Taiwan Cooperative Bank (合作金庫銀行).
The planned merger between the Bank of Taiwan and the Land Bank of Taiwan was first trumpeted by former premier Frank Hsieh (
Such a deal could make the merged entity the No. 1 lender and one of the world's top 100 in terms of assets.
"But integration is my priority in the first half of the year," Tsai said. "We will not undertake further acquisition activity until integration is completed."
Evolving into a financial holding firm is also an option after the bank's takeover of Central Trust of China, which also has insurance and securities operations, he said.
Tsai did not give a clear time frame for the bank's future expansion plan.
As to whether the 100-percent state-owned Bank of Taiwan should be privatized, he said that would depend on government policy.
Tsai said he supported the idea of state-run banks adopting a private, professional management model, allowing them to take full control of decision-making relating to personnel and budgets.
This would help state banks become as efficient and competitive as their private rivals, he said.
Tsai added that the bank would endeavor to develop its wealth management business and set up footholds in emerging markets in Central and Eastern Europe to serve Taiwanese firms there.
The bank posted profits of between NT$13.5 billion (US$416 million) and NT$14 billion last year, compared with NT$15.2 billion in 2005.
Singapore-based ride-hailing and delivery giant Grab Holdings Ltd has applied for regulatory approval to acquire the Taiwan operations of Germany-based Delivery Hero SE's Foodpanda in a deal valued at about US$600 million. Grab submitted the filing to the Fair Trade Commission on Friday last week, with the transaction subject to regulatory review and approval, the company said in a statement yesterday. Its independent governance structure would help foster a healthy and competitive market in Taiwan if the deal is approved, Grab said. Grab, which is listed on the NASDAQ, said in the filing that US-based Uber Technologies Inc holds about 13 percent of
The domestic unit of the Chinese-owned, Dutch-headquartered chipmaker Nexperia BV will soon be able to produce semiconductors locally within China, according to two company sources. Nexperia is at the center of a global tug-of-war over critical semiconductor technology, with a Dutch court in February ordering a probe into alleged mismanagement at the company. The geopolitical tussle has disrupted supply chains, with some carmakers reportedly forced to cut production due to chip shortages. Local production would allow Nexperia’s domestic arm, Nexperia Semiconductors (China) Ltd (安世半導體中國), to bypass restrictions in place since October on the supply of silicon wafers — etched with tiny components to
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday received government approval to deploy its advanced 3-nanometer (3nm) process at its second fab currently under construction in Japan, the Ministry of Economic Affairs said in a news release. The ministry green-lit the plan for the facility in Kumamoto, which is scheduled to start installing equipment and come online in 2028 with a monthly production capacity of 15,000 12-inch wafers, the ministry said. The Department of Investment Review in June 2024 authorized a US$5.26 billion investment for the facility, slated to manufacture 6- to 12nm chips, significantly less advanced than 3nm process. At a meeting with
Taiwan’s food delivery market could undergo a major shift if Singapore-based Grab Holdings Ltd completes its planned acquisition of Delivery Hero SE’s Foodpanda business in Taiwan, industry experts said. Grab on Monday last week announced it would acquire Foodpanda’s Taiwan operations for US$600 million. The deal is expected to be finalized in the second half of this year, with Grab aiming to complete user migration to its platform by the first half of next year. A duopoly between Uber Eats and Foodpanda dominates Taiwan’s delivery market, a structure that has remained intact since the Fair Trade Commission (FTC) blocked Uber Technologies Inc’s
RSS