European lenders snub CCB invitation to buy 5pc stake The banks say the US$2 billion price is too expensive and they have worries over corporate governance.

(From South China Morning Post)

Byline: banking Andrew K. Collier in Beijing and Bei Hu

European banks are declining offers to buy a share in China Construction Bank (CCB) because of concerns over price and corporate governance, sources say.

Last month, CCB and its advisers invited about 15 international financial institutions to bid for a 5 per cent stake in CCB valued at US$2 billion, bankers said.

The banks on the list were given until the end of this week to submit detailed co-operation proposals. Some had asked for an extension of the tight deadline, a source said.

European banks, one of the largest groups on the bid list, …