Industrial Bank of Taiwan to Acquire EverTrust Bank
Tuesday July 18, 10:00 am ET
CITY OF INDUSTRY, Calif., July 18 /PRNewswire/ — Industrial Bank of Taiwan Co., Ltd. (“IBT”) and EverTrust Bank (“EverTrust”), announced today that they have entered into a definitive agreement for the acquisition of EverTrust by IBT. The acquisition is subject to approval of Taiwanese and US bank regulators and is expected to close in the fourth quarter of 2006.
Headquartered in Taipei, Taiwan, IBT is an industrial bank with US$3.4 billion in assets. Founded in 1999 by senior financiers Dr. Samuel Shieh and Mr. Kenneth Lo, IBT was the first newly established industrial bank in Taiwan. Its businesses include medium- and long-term credit extension, direct investment, financial consultancy, financial product trading, financial/real estate asset securitization, securities trading, underwriting, trust, foreign exchange and project development.
EverTrust, headquartered in City of Industry, California, is a California-chartered bank with total assets of $331 million, deposits of $302 million, loans of $214 million and stockholders’ equity of $24.8 million at March 31, 2006. EverTrust has four full service offices, including three in Los Angeles County and one in Orange County. EverTrust will continue to operate under its existing brand name.
Kenneth C.M. Lo, Chairman and Chief Executive Officer of IBT, stated: “This acquisition marks IBT’s first entry into the U.S. market, and we are excited about the opportunities to serve the financial needs of the growing Chinese-American population in Southern California. With IBT’s experienced management and strong capital support, EverTrust will have the opportunity to enhance its services, expand the communities it serves and continue its solid growth.”
Henry W. Peng, President of IBT, added, “This acquisition gives IBT a presence in the world’s largest financial market, and provides an opportunity to follow the steps of our customers and extend banking services in the U.S. With the strong competency and experience of IBT’s management in operating banks in the U.S., we are certain that this investment opportunity can bring the highest value to IBT’s shareholders.”
Chris K. Huang, Chairman and Chief Executive Officer of EverTrust, commented: “We are pleased to join one of the premier financial services companies headquartered in Taiwan. We believe that this transaction will provide our shareholders with significant value. IBT’s larger lending capacity and broader product breadth will improve our ability to serve our customers and expand the career opportunities for our employees. We consider this to be a good transaction for our constituency, the employees, and the shareholders.”
Morrison and Foerster LLP is representing IBT in the transaction, and King, Holmes, Paterno & Berliner, LLP represents EverTrust.
Financial Relations Board
Source: Industrial Bank of Taiwan Co., Ltd.