Chinese banks look to invest in Standard Chartered: report

Tuesday November 20, 1:44 AM

Chinese banks look to invest in Standard Chartered: report

China's three leading banks have approached Temasek, Singapore's state investment agency, over the acquisition of its stake in Standard Chartered, the emerging-markets lender, the Financial Times said Monday.

Industrial and Commercial Bank of China (ICBC), Bank of China and China Construction Bank had in recent months made "informal and discreet" contact with senior Temasek personnel about a possible deal for the group's 17 percent stake in Standard Chartered, the Britain-based emerging-markets bank.

Temasek is understood to have rebuffed the advances because it considers its stake in Standard Chartered to be of financial and strategic importance, according to people familiar with the matter, the FT said.

But Wang Zhenning, a Beijing-based spokesman for ICBC, denied the Chinese bank had approached Temasek regarding possible investment in Standard.

"ICBC hasn't had any contact with Temasek concerning this issue," he said. Bank of China and China Construction Bank could not immediately be reached, while Standard Chartered also declined to confirm the story.

Standard Chartered is attractive to the Chinese banks because of its profitable and expanding operations in Africa, the Middle East and Asia, added the business daily.

Temasek is Standard Chartered's largest shareholder.