Temasek to pay US$3.6 billion for stake in BoC

Marking the largest single foreign investment in a Chinese bank to date, Singapore's Temasek Holdings Pte Ltd will pay US$3.1 billion for a 10% stake in Bank of China and will buy another US$500 million of shares in BoC's planned IPO, the Wall Street Journal reported. Temasek had previously taken stakes in China Construction Bank and China Minsheng Banking Co, forging several China bank connections, unlike foreign banks that have bought large stakes in a single bank. The Temasek deal comes just weeks after Bank of China secured a US$3.1 billion investment from a consortium led by Royal Bank of Scotland.