China banks approach Newbridge for Taishin stake

The Commercial Times reported that Chinese banks want to buy $923-million worth of Taishin stakes.

The interest of the state-owned Chinese lenders, which were not identified in the report, comes as Taiwan is expected to sign a financial service pact with China, as reported in Reuters.

If the purchase materialises, Chinese banks would become Taishin's biggest investor, the newspaper reported.

Private equity fund Newbridge holds a 21 percent stake in Taishin, George Soros's fund has 4 percent and Nomura Holdings holds 3.2 percent, the Chinese-language newspaper said.

Lin Keh-hsiao, president of Taishin, said he was not aware the investors were planning to sell their stakes, the report said.

Taishin, the island's No.4 listed financial holding firm by assets, said in May that it was talking to five Chinese banks about strategic alliances.