Subordinated debt issuers get mixed reception | Newbridge deals sparks hopes for foreign interest
AT THE TAIL end of January, as the Year of the Dog drew near, international investors made their first forays into Taiwan's banking sector.
First, GE Consumer Finance announced the acquisition of a 10% stake of $85 million in Cosmos Bank, a mid-tier player that pioneered the cash card in Taiwan. A few days later that move was dwarfed by the news that Taishin Financial Holding Co (FHC) had attracted a NT$27 billion (US$855 million) investment from Asian private equity firm Newbridge Capital. Then, as Newbridge signed the deal on the first Monday after the New Year holidays, Nomura Holdings announced that – with an anchor investor in place – it was taking a NT$4 billion stake in the same bank group [see Newbridge deals sparks hopes for foreign interest, this issue].
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