China Development Financial Holding Corp. will hold off on its potential acquisition of China Life Insurance Co. Ltd. after the insurer's share price fell, the Taipei Times reported.
China Development Financial plans to delay the acquisition as China Life's shareholders seem to be unwilling to sell their shares at a lower price, according to a China Development Financial spokesman. China Life's share price fell 26% to NT$25.9 on Jan. 17, compared to NT$35 in September 2017, when China Development Financial bought 25% of the company's outstanding shares.
China Development Financial owns 35% of China Life. It had told Taiwan's Financial Supervisory Commission in 2017 that it would fully acquire the insurance company within 2.5 years, which would be in March.
The right time for the acquisition would be when the share price rebounds, the spokesman said.
As of Jan. 17, US$1 was equivalent to NT$29.97.