Australia and New Zealand (ANZ) Banking Group has revised the $1.3bn sale agreement related to the Shanghai Rural Commercial Bank (SRCB).
As part of a new sale agreement, Baoshan Iron & Steel (Bao) will purchase 10% stake in SRCB in place of Shanghai SinoPoland Enterprise Management Development Corporation.
Under the revised terms, Bao and China COSCO Shipping will acquire ANZ’s 20% stake in SRCB.
According to ANZ, the key financial terms of the revised sale agreement are not changed from the earlier announced transaction.
ANZ deputy CEO Graham Hodges said: “There are no material changes to the financial terms of the sale for ANZ. This is a positive outcome for SRCB and its customers given Bao Group is a leading State Owned Enterprise with a strong track record investing in financial services.”
The deal remains subject to customary closing conditions and regulatory approvals.
In January, ANZ first entered into an agreement to sell its 20% stake in SRCB for $1.3bn. The acquirers of the stake in the deal include China COSCO Shipping and Shanghai Sino-Poland Enterprise Management Development Corporation.
Established in 2005 and based in Shanghai, SRCB operates around 400 branches with more than 6,000 employees.
The bank offers a range ange of banking products and services to personal and corporate customers in China. It provides deposits, certificates of deposit, housing, consumer, business and farmer loans.
SRCB, which received a total of AUD568m ($411.3m) from ANZ, contributed AUD259m ($187.5m) to its post-tax profits for the financial year 2016.
Image: Bao will acquire 10% stake in SRCB in place of Shanghai SinoPoland Enterprise Management Development Corporation. Photo: courtesy of Australia and New Zealand Banking Group Limited.