Biz Scene: GRAPEVINE

Minsheng takeover

China Minsheng Banking Corp is in the final stages of talks to buy control of a domestic trust firm as it diversifies in the financial sector, Bloomberg reported yesterday, citing two sources.

Minsheng Bank wants to buy between 70 and 90 percent of Shaanxi International Trust & Investment Corp, the sources said.

Minsheng approached Shaanxi Trust more than half a year ago and the two companies are now close to reaching a final agreement, which would give Minsheng management control of the Shenzhen-listed trust company, the sources said.

Insurance talks

Insurance Australia Group, the largest car and home insurer in Australia, is in talks to take a 20 percent stake in China United Property Insurance, the mainland's fourth-largest property insurer, and China Continent Property & Casualty Insurance, a unit of the mainland's largest reinsurer, the South China Morning Post reported, citing market sources.

A spokesman at China United said it was considering introducing investors to boost its share capital, but nothing has been decided yet, the report said.

A spokesman at China Continent, also known as Dadi Insurance, said he had no knowledge of any talks with Insurance Australia.

(China Daily 08/21/2007 page15)