OCBC closing in on Wing Hang buy after getting HKMA nod: sources

Hong Kong

OVERSEA-Chinese Banking Corp is nearing an agreement to acquire Wing Hang Bank Ltd, Hong Kong's second-largest family-run bank, after securing preliminary approval from the city's banking regulator, according to people familiar with the matter.

The purchase of Wing Hang, which has a market value of HK$35 billion (S$5.7 billion), could be announced as soon as early next week, the people said, asking not to be identified because the details are private. A deal would value Wing Hang at about 1.9 times book value, according to one of the sources. Wing Hang shares, which rallied earlier, were suspended in Hong Kong.