DBS sets up consumer finance company with Postal Savings Bank of China

It’s investing $25.83m into the JV firm.

DBS Bank has inked a joint venture with the Postal Savings Bank of China (PSBC) and 5 other Chinese corporates to set up a consumer finance company in the mainland.

DBS is investing $25.83m (RMB 120m) into the firm, which will be named the China Post Consumer Finance Company Limited.

DBS will become the second-largest shareholder and the only foreign shareholder in the firm. PSBC, as the major sponsor, will be contributing 61.5% of the registered capital.

The China Banking Regulatory Commission recently approved preparatory work to set up CPCFC. CPCFC will be registered in Guangzhou City, and principally engaged in the provision of personal consumer finance services across China.