ICBC's acquisition business set foot in Canada

ICBC, which held its shares in yesterday's settlement, traded 0.41% to 4.85 Hong Kong dollars earlier this morning, trading 12.6839 million shares, and the bank's a-share (601398-CN) has now risen 1.79% to 4.56 yuan. The company recently announced that it would buy 70% per cent of the common shares of the Bank of East Asia of Canada by the Bank of East Asia at about HK $567 million in cash, and that it could increase its stake to 80% after a year after the deal was completed. ICBC's chairman, Jiang Jianqing, said the acquisition would give ICBC access to Canadian banking licences and client resources, laying the groundwork for further expansion of North America's regional operations and networks, while also planning to sell East Asian banks its 75% per cent stake in East Asia, The transaction price is HK $372 million; After the transaction is completed, the Bank of East Asia will fully hold industrial and commercial East Asia. Jiang said the sale of East Asia would help ICBC's institutional layout and business integration in Hong Kong and concentrate its resources on developing investment banking in Hong Kong. The deal remains to be approved by regulatory authorities, including the China Banking Regulatory Commission, the Hong Kong Monetary Authority and the Canadian Finance minister.