Shinsei Bank to Buy New Zealand Nonbank Lender

Economy

Tokyo, June 2 (Jiji Press)--Japan's Shinsei Bank <8303> said Tuesday it will acquire UDC Finance Ltd., the biggest nonbank financial institution in New Zealand, for 762 million New Zealand dollars.

Shinsei Bank plans to acquire all outstanding UDC Finance shares from ANZ Bank New Zealand on Aug. 31, subject to regulatory approval.

UDC Finance has strengths in auto loans for individual customers and asset-backed financing for corporate customers, according to Shinsei Bank.

The Japanese bank said that the acquisition will lower its equity ratio by 0.4 percentage point but that it can achieve its medium-term financial goal.

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