ICBC offers $1.4b to take HK unit private

Industrial and Commercial Bank of China (ICBC; 601398.SH, 1398.HK) has offered shareholders in Hong Kong US$1.4 billion for their shares in ICBC (Asia), the bank’s Hong Kong-listed unit, the Wall Street Journal reported. ICBC said it would pay shareholders HK$29.45 (US$3.79) for each share, a 28% premium over their last trading price on July 27. ICBC currently owns 72.81% of the Hong Kong unit, and hopes that taking ICBC (Asia) private will allow it to streamline its Hong Kong operations. In a statement, ICBC said that the listing status of ICBC (Asia) limited the bank’s flexibility in providing it capital to expand and develop in Hong Kong.