UOB entered an agreement with Shenergy (Group) to set up a joint venture consumer finance company, called Shenergy Consumer Finance, in Shanghai, China, the Singapore bank said in a filing to SGX Friday.
The joint venture will be 19.9 percent held by UOB, with the remainder held by Shenergy, the filing said.
Shenergy Consumer Finance, which will offer consumer financing on the mainland, including personal loans to buy energy products and services, will have registered capital of 500 million yuan, UOB said.
“It will tap on the combined strengths of both shareholders, namely Shenergy’s customer base and ecosystem in the country’s energy
sector and UOB’s risk management expertise,” UOB said. “The joint venture would help deepen UOB’s presence in China.”
The establishment of the joint venture is subject to regulatory approvals, UOB said.
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