The Central Deposit Insurance Corporation ("CDIC"), is in its capacity as agent of the Executive Yuan's Financial Restructuring Fund ("Restructuring Fund"), and is designated by the Ministry of Finance of R.O.C to act as the receiver of the Chung Shing Bank ("CSB"), and the follow up disposal of CSB assets. The sale of selective non-performing loan assets of CSB was approved by the Restructuring Fund and the Ministry of Finance. A public bidding was held on December 15, 2003, with multinational investors attending the bid. The portfolio was divided into a corporate tranche and an Individual tranche.
- Corporate Tranche: unpaid balance amounted to NT$20.4bn; book balance amounted to NT$ 17.2bn.
- Individual Tranche: unpaid balance amounted to NT$ 17.0bn; book balance amounted to NT$ 11.6bn.
The bid result and the winning bidders as follows:
Corporate Tranche: Lone Star Asia-Pacific, Ltd. (Winning Bid Price NT$ 4.03bn)
Individual Tranche: Lehman Brothers Commercial Corporation Asia Limited / Taiwan Asset Management Corporation (Winning Bid Price NT$ 4.19bn)
The Agreement to Sell and Purchase is to be executed on December 18, 2003.