**********************************************************
The Industrial Bank of Taiwan Group (the "IBT Group") today (May 26) announced the opening of a subsidiary in Hong Kong ¡ª IBTS Asia (HK) Limited ("IBTS Asia"), with an aim to expand into the Hong Kong financial market.
The Industrial Bank of Taiwan ("IBT") and IBT Securities Co Ltd ("IBTS") are the two major enterprises owned by the IBT Group. Established in 1999, IBT is a financial institution majoring in industrial banking services in Taiwan, while IBTS, established in 1961, is one of the earliest securities houses in Taiwan. At the end of the first quarter of 2006, the total asset value and net asset value of the IBT Group were US$11 billion and US$1.784 billion respectively.
In recent years, the IBT Group has been actively expanding into the overseas markets. Building a presence in the Hong Kong market is a key objective in the first phase of the Group's development plan. The establishment of IBTS Asia represents an important step for the IBT Group to develop in the Chinese market.
The Chairman of the IBT Group, Mr Kenneth Lo, explained the Group's reasons for coming to Hong Kong. He said, "Since its establishment, the IBT Group has strived to become an excellent partner to help enterprises to grow and prosper. We have been playing a significant role as a professional bank to provide medium-to-long term credit. We are very pleased to see IBTS Asia expanding into the Hong Kong financial market."
"Leveraging on the international financial market platform of Hong Kong, the new Hong Kong-based subsidiary will enable the IBT Group to participate into the international capital market and provide comprehensive multinational financial services. We are very confident in the future growth of IBTS Asia."
The Director-General of Investment Promotion at Invest Hong Kong, Mr Mike Rowse, warmly welcomed IBTS Asia's establishment in the city. He said, "The financial services industry has been one of the most important pillars in our economy. Hong Kong is home to 68 of the world's top 100 banks and we are one of the leading global players in the capital market."
"The IBT Group has made the right choice in putting its securities arm in Hong Kong. We are an international financial centre with a sound and sophisticated financial system, an efficient and transparent regulatory mechanism, an impressive record of fund raising capability and our pool of well-trained banking and finance personnel. With our close proximity to the Mainland and the benefits of the Closer Economic Partnership Arrangement (CEPA), Hong Kong naturally is able to play a strategic role in facilitating the Group's development here and in the Mainland. On behalf of Invest Hong Kong, I wish IBTS Asia every success in Hong Kong and the region."
IBTS Asia (HK) Limited is a wholly-owned Hong Kong subsidiary by the IBT Group. IBTS Asia obtained the Type I (Securities Dealing) and Type IV (Advising on Securities) security licenses from the Hong Kong Securities and Futures Commission in November 2005. It primarily engages in securities dealing, underwriting of new shares, securities placement, brokerage service and advising on securities. IBTS Asia also plans to develop a corporate finance business and provide comprehensive securities and financial services for Taiwan and Hong Kong investors. For details, please visit the company website at www.ibts.com.tw.
Invest Hong Kong is the Hong Kong Special Administrative Region Government department charged with encouraging and facilitating inward investment into the city by providing the support needed to establish a business presence here. For more information, please visit the website at www.investhk.gov.hk.
Ends/Friday, May 26, 2006
Issued at HKT 18:06
NNNN
