Yuanta Group to Offer NT$7 B. to Bid on Asiaworld Plaza Hotel

Taipei, May 11, 2006 (CENS)--For several days a market rumor has been spreading that Yuanta Group has commissioned Fuhwa Bank to apply to purchase the Asiaworld Plaza building.

According to a Taipei court, Fuhwa Bank has deposited NT$1.479 billion (US$46.21 million at US$1:NT$32) in cash to apply to purchase Asiaworld at a price of NT$7.039 billion (US$219.96 million). The Taipei court said the ownership of Asiaworld would be transferred to Fuhwa if there were no objection from both creditors and debtors.

Fuhwa Bank said it has been commissioned by a client to apply for the purchase of the Asiaworld property, but the bank was not able to release further details about the purchaser of the Asiaworld property.

Yuanta Group is believed to be the company interested in buying Asiaworld, and is expected to redevelop Asiaworld through an urban renovation project.

If Asiaworld is smoothly auctioned off, then its largest creditor—Pan-Asia Investment, which is under the Formosa Plastics Group—will be able to redeem its NT$7 billion (US$218.75 million) investment in the property.

The 23-year-old Asiaworld building measures 25,773 pings (927,800 square feet) in floor space and is situated on Tunhwa N. Rd. in Taipei. Since February 2004, the building has been operated by Pan-Asia Investment.