China Bank buys brokerage ATC Securities

China Bank Capital Corp. (CBCC) has bought an existing stock brokerage to set up its own trading unit, the investment arm of China Banking Corp. said on Thursday.
 
CBCC has bought 100 percent of the shares of stock of brokerage ATC Securities Inc. (ASI) on June 29. The transaction is subject to regulatory approvals, the bank said in a disclosure to the Philippine Stock Exchange.
 
Alexander Escucha, SVP and head of China Bank’s Investor & Corporate Relations Group earlier said the regulatory requirement for setting up a stock brokerage house is P100 million. 

China Bank will rename TC Securities as China Bank Securities Corp., its wholly-owned stock brokerage subsidiary.

 “As a wholly-owned subsidiary, it will enable CBCC to do initial public offerings (IPOS) and list these IPO shares on the PSE,” the bank said earlier.
 
The CBCC’s board of directors on Thursday confirmed the bank’s action two set up the said subsidiary and a special purpose corporation.
 
The bank noted it secured the approval of Securities and Exchange Commission on June 15 to incorporate CBC Assets One Inc.

CBC Assets will be used to hold assets for the securitization transactions of CBCC.
 
CBC Assets will turn CBCC assets into securities or financial instruments that can be sold to investors in the financial markets. — Ted Cordero/VDS, GMA News