Analysts flag potential M&A risks in OCBC's rumoured Permata buy

Singapore

SOME analysts are raising acquisition risks behind the reported interest by OCBC to snap up most of Indonesian lender Bank Permata, warning that these pressures could weigh on the bank's shares in the near term.

Bloomberg reported last Wednesday that Singapore's second-largest lender was weighing a bid for a controlling stake in Bank Permata, which is valued at about US$2 billion.