First Pacific Co 142 looks set to conclude the disposal of its stake in FPB Bank 717 any day. This would follow ICBC's takeover of Union Bank in April of this year. Analysts predict that the consolidation of the local banking industry will continue and tip HKCB Bank 655 as the next likely target.
The speculation has arisen due to the situations of HKCB Bank's two major shareholders, China Resources 291 and Lippo China Resources 156. They hold stakes of 35.4% and 30.0% respectively.
Both companies have their own reasons for selling their stakes in HKCB Bank, says Anthony Lok, regional head of banking at Nomura International.
Lippo China Resources, which has...
