HSBC to buy Taiwan bank, eyes capital boost
LONDON (Reuters) - HSBC Holdings <HSBA.L>, Europe's biggest bank, is acquiring The Chinese Bank Co. in Taiwan and will provide it with additional capital of between $300 million and $400 million, it said on Friday.
The deal follows a government auction and will increase HSBC's island-wide branch network to 47 from eight and give it a presence in all the major cities in Asia's fourth-biggest banking market.
Taiwan's government took control of The Chinese Bank in January. HSBC will assume the bank's assets, liabilities and operations, and will provide additional capital to maintain appropriate financial ratios. HSBC said this was likely to be between $300 million and $400 million.
(Reporting by Steve Slater, Editing by Erica Billingham)