ANZ invests additional $124.9M in BoT

ANZ invested another US$124.9 million in BoT to support the latter's strategic growth agenda.

Bank of Tianjin or BoT is seeking to raise a total of US$623.5 million in the capital raising and is inviting a number of existing shareholders and new investors to participate. Shares will be issued at US$0.78 per share which represents a reported price to 31 December 2009 book of 1.9 times and values BoT at US$2.28 billion.

The additional investment means ANZ will maintain its current 20 per cent stake in BoT. It follows the announcement last month that ANZ would invest a further US$247.8  million as part of a capital raising by Shanghai Rural Commercial Bank.

“ANZ’s additional investment in the growth of BoT and SRCB demonstrates the depth of our commitment to China and our strategic partnerships. Our partnership with BoT provides access to the mass retail and small-to-medium sized business banking markets in the Bohai Economic Region, which is the economic powerhouse of North China and a priority investment area for the Chinese government,” said Alex Thursby, ANZ CEO Asia Pacific, Europe and America.

“As we deepen the cooperation between the two banks with this investment, ANZ will continue to support BoT in developing a Trade and Markets business and our banks will establish a new business referrals framework to ensure customers have access to our combined capabilities, expertise and market insight,” he added.

ANZ established its strategic partnership with BoT in 2006 with an investment of US$157.6 million.