Postal Savings Bank opens for business

POSTAL Savings Bank of China opened for business yesterday in Beijing, allowing the country’s fifth-largest bank by deposits to expand its lending after years of being the deposit-taking arm of the State postal service.

The bank, which has a network of 36,000 outlets attached to the postal network, is fully owned by China Post Group. The State Council created China Post Group in August by separating the business and regulatory functions of the country’s postal system.

Small, midsized banks asked to slow lending

THE banking regulator said Monday it had demanded that some small and midsized banks slow their loan growth after data in the first two months showed they were extending loans too fast.

China’s classification of small and midsized banks refers to joint-stockholding banks, many of which are listed in Shanghai, city commercial banks, and city credit cooperatives. Banks extended 981.4 billion yuan (US$126.81 billion) worth of new yuan-denominated loans in the first two months of this year.

Focus Media eyeing four Web firms

CHINESE advertising company Focus Media Holding Ltd. is considering acquiring four Internet firms to bolster its fledgling online business, an official newspaper reported Monday.

Shanghai-based Focus Media is already discussing acquisition terms with the four companies, the China Securities Journal said, quoting “authoritative” sources, and is mainly eyeing short messaging and wireless value-added services. Two of the targets are based in Shenzhen, one in Beijing and another in Zhengzhou, the paper said. The last two firms are subsidiaries of the same company.

China Resources to buy out Sanjiu Group

THE State-owned parent of China Resources Enterprise Ltd. said Monday it hopes to buy out China’s top drug and medical group Sanjiu Group.

China Resources had submitted a plan to purchase 100 percent of Sanjiu, which owns Shenzhen listed Sanjiu Medical & Pharmaceutical Co. Ltd., Song Lin, president of China Resources (Holdings), told reporters. Sanjiu’s restructuring was at an advanced stage and China Resources would likely use Sanjiu as the platform for the group’s drug and medicine business.

Shui On to develop software park

SHUI On Group said Monday it had signed an agreement with mainland property firm Yida Group to develop a software park in the northeastern city of Dalian at a total cost of about 15 billion yuan (US$1.94 billion).

Shui On Land Ltd., Shui On Construction and Materials Ltd. and Shui On Private Group will own a combined 70 percent in the Dalian Software Park Phase 2, while Yida Group will own the remaining 30 percent. Shui On Land was expected to be the largest single shareholder, the group said.

The project, to be developed in several phases, will include a buildable gross floor area of about 4 million square meters targeting the software and information services sectors, as well as commercial and residential space.

The first phase of Dalian Software Park, launched in 1998, has gross floor area of 1.6 million square meters and is more than 95 percent leased, Shui On said.