Subsidiary CUB bid for China United Trust & Investment Corporation with NT$12.9bn compensation from the RTC Fund. The deal will be executed after Board's final resolution.
2007-10-02
1.Kind of merger/acquisition (e.g.merger, consolidation, spin-off
,acquisition, or receiving assignment of shares):P&A
2.Date of occurrence of the event:2007/10/02
3.Names of companies participating in the merger (e.g.name of the
other company participating in the merger or consolidation, newly
established company in a spin-off, acquired company, or company
whose shares are taken assignment of):none
4.Counterparty (e.g.name of the other company participating in
the merger or consolidation, company taking assignment of the
spin-off, or counterparty to the acquisition or assignment of shares):
China United Trust & Investment Corporation
5.Relationship between the counterparty and the Company (investee
company in which the Company has re-invested and has shareholding
of XX%), and explanation of the reasons for the decision to acquire,
or take assignment of the shares of, an affiliated enterprise or
related person, and whether it will affect shareholders' equity:n/a
6.Purpose/objective of the merger/acquisitionation:Through this channel
expansion,Cathay United Bank could realize its competitive advantage to
create value for its shareholder.
7.Anticipated benefits of the merger/acquisition:By obtaining the assets,
loans,and 20 new branches licenses, Cathay United Bank could increase its
market share in asset size and loan granted while establishing a bigger
network to serve more customers, and strengthening the competitiveness
of the bank.
8.Effect of the merger or consolidation on net worth per share and
earnings per share:no significant effect
9.Share exchange ratio and basis of its calculation: n/a
10.Scheduled timetable for consummation:Depending on regulator's
permission and abiding by the related regulations.
11.Matters related to assumption by the existing company or new
company of rights and obligations of the extinguished (or spun-off)
company::Assuming all business and specific assets/liabilities of China United
Trust & Investment Corporation.
12.Basic information of companies participating in the merger:None
13.Matters related to the spin-off (including estimated value of
the business and assets planned to be assigned to the existing
company or new company; the total number and the types and
volumesof the shares to be acquired by the split company or
its shareholders; matters related to the reduction, if any,
in capital of the split company) (note: not applicable other
than where there is announcementof a spin-off):n/a
14.Conditions and restrictions on future transfers of shares
resulting from the merger or acquisition:n/a
15.Other important stipulations:Abiding by the contract signed multilaterally.
16.Do the directors have any objection to the present transaction?:no
