ANZ latest to sell Chinese bank stake

Australian bank sells its stake in Shanghai Rural Commercial Bank, marking yet another withdrawal of Chinese bank ownership by a foreign firm.

ANZ announced on Tuesday that it will sell its entire 20% stake in unlisted Shanghai Rural Commercial Bank, underscoring the diminishing appeal of owning a majority stake in a Chinese lender.

The Australian bank said it will sell the stake to China Cosco Shipping and Shanghai Sino-Poland Enterprise Management Development for A$1.83 billion $1.32 billion, marking the end of a nine-year strategic partnership with the Shanghai-headquartered bank since it invested A$318 million in September 2007.

The sale was completed at a price-to-book ratio of 1.1 times based on the mainland lender’s net asset value at the end of 2015. The multiple is likely lower...

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