Cathay Financial scraps deal to acquire Malaysian assets of Canada bank

The deal reportedly cannot be closed before the deadline.

Cathay Financial Holdings announced that it has terminated its plan to acquire the Malaysian assets of Bank of Nova Scotia, according to a filing with the Taiwan Stock Exchange.

The financial services provider earlier announced that its subsidiaries Cathay United Bank and Cathay Life would buy the Malaysian unit for $225m which would boost its regional footprint and reach in Southeast Asia. 

However, a report from Reuters claims that the deal could not be closed before the deadline. The two parties had until April 30 to agree on the terms and conditions of the deal.