UOB proposes winding up of UIS

Singapore

UNITED Overseas Bank (UOB) has proposed the winding up of its associate, United International Securities (UIS), to avoid more onerous responsibilities that will result from an impending new financial reporting standard (FRS).

But the move, which will also give UIS shareholders a chance to realise their investments, was greeted with cheer by the market, which pushed UIS shares up 27 cents at the close yesterday.

UOB this week announced the proposed winding up of UIS - in which it is deemed to own 49.4 per cent - because of the greater responsibilities that will be placed on the bank as a result of FRS 110. This comes just days after Singapore Exchange sent out a reminder that FRS 110 would be …