The bank plans to approach US regulators for approval to raise its stake in UCBH to around 50% from the present 9.6%
China-based Minsheng Bank, a non-state lender, seeks to augment its stake in San Francisco-based UCBH Holdings (UCBH), to increase the capital of the US bank – reported Reuters.
The bank is planning to approach the US regulators for approval to raise its stake in UCBH to approximately 50% from the present 9.6%, reported the news agency. According to the source, the bank has an option to raise its stake holding to approximately 20%.
During the previous month, UCBH, which is operating under an enforcement order from the Federal Deposit Insurance Corp and the California Department of Financial Institutions, said that two top executives resigned after a board audit panel raised concerns about the actions of several current and former officers.
US-based UCBH Holdings, through its wholly-owned banking subsidiary, United Commercial Bank (UCB), offers various personal and commercial banking services to small-and medium-sized businesses, business executives, professionals and other individuals.