Chinese Firm Now Largest Shareholder in European Bank

Fosun Chairman Guo Guangchang

Fosun Chairman Guo Guangchang

Portuguese banks have been reaching out for capital injections to boost capital to addresses the country’s regulator's requests and dilute the burden of non-performing loans.

Shanghai’s Fosun International has agreed to pay $185 million for a stake in Banco Comercial Portugues, Portugal’s biggest publicly traded lender by assets.

After the dilution of Banco Comercial Portugues (BCP) existing capital Fosun will become the largest shareholder with its 16.7 percent stake.

Fosun aims to increase the stake to about 30 percent in the future and additional directors will be nominated on the board of Banco Comercial by a unit of Fosun. Fosun’s proposal to invest in Banco Comercial was initially disclosed in July 2016. The investment will help the Chinese group extend its business in Europe and Africa.

Golden Visa Investment

Portugal has attracted both institutional and individual Chinese investment. The Portuguese Golden Visa scheme has attracted substantial inward investment from Chinese investors through the purchase of real estate.

Investors have looked to the Algarve and Silver Coast north of Lisbon, but Lisbon's city centre has been the main target due to the value and potential uplift.

Fosun Active Again

Real Estate investment has also played a key role in the growth of the Fosun empire, the company has built a substantial portfolio of assets in Japan, the U.S., Australia and Europe as reported earlier this year.

Fosun also acquired French resort chain Club Mediterranee and Canadian circus operator Cirque du Soleil.


Compare my salary

Compare my salary

Feeling Underpaid? Benchmark your salary by job title, company and location. Find out where you stand in minutes.

compare my salary


Newsletter-SymbolFree Subscription

Subscribe to our free newsletter and receive daily email alerts from the finews editorial team with a list of the top featured articles.

Share with us

Do you have any market intelligence to share with – email us on – All communication is completely confidential and strictly anonymous.