Editorial

03 Feb 2014 ICBC Acquisition of Majority Stake in Standard Bank plc

ICBC Acquisition of Majority Stake in Standard Bank plc - Industrial and Commercial Bank of China Limited (ICBC) announced that ICBC has reached an agreement with Standard Bank Group Limited (Standard Bank) regarding the acquisition of 60 percent of the existing issued shares in Standard Bank Plc (SB Plc). According to the share sale and purchase agreement, the purchase price to be paid by ICBC to SBLH will be determined by reference to the net asset value of SB Plc at the completion date of the transaction. Based on the net asset value of SB Plc as at the end of June 2013, the consideration for this transaction is estimated to be approximately USD770 million. In addition to the 60 per cent. of shares to be acquired on the completion date, ICBC has a call option to increase its shareholding in SB Plc to 80 per cent in the future. SBLH will have a put option, exercisable after ICBC’s call option is exercised, to require ICBC to purchase all of the shares in SB Plc. (White & Case advised the Acquiror).

Financial Centre : London
Law Firm : White & Case
Lawyer : Philip Broke

Practice Area : Corporate and M&A
Classification : Strategic Buyer Acquisitions
Sub-classification : Public Company - Recommended Offer
Industry : Banks

Advised Party : Acquiror
Value USD Equiv : 500.01-1000.00M

Target Company Jurisdiction: : South Africa, United Kingdom
Acquiror Jurisdiction: : China