Standard Chartered to invest 500 million dollars in AgBank
Britain's Standard Chartered said Wednesday it would sign up for 500 million dollars of shares in Agricultural Bank of China (AgBank) in next month's flotation to become one of the biggest shareholders.
"Agricultural Bank of China is a great bank with a great future," said Standard Chartered Group Chief Executive Peter Sands in a statement to the London Stock Exchange.
"This investment is a natural next step in our longstanding relationship and it underpins our recent agreement to develop business together.
The British bank will buy shares listed on the Hong Kong stock exchange, using its cash reserves "for the number of shares with a total value at the offer price of the Hong Kong dollar equivalent of 500 million US dollars".
This is the equivalent of 409 million euros.
"China is a key market for us and our partnership is a strong symbol of our commitment there," Sands added.
© 2010 AFP