The COTA Bank () is a
commercial bank
A commercial bank is a financial institution that accepts deposits from the public and gives loans for the purposes of consumption and investment to make a profit.
It can also refer to a bank or a division of a larger bank that deals with whol ...
headquartered in
Central District Central District may refer to:
Places
* Central District (Botswana)
* Central district, Plovdiv, Bulgaria
* Central District, Xiamen, China, now Siming District, Fujian
* Central, Hong Kong, also called Central District
* List of Central District ...
,
Taichung
Taichung (, Wade–Giles: '), officially Taichung City, is a special municipality (Taiwan), special municipality in central Taiwan. Taichung is Taiwan's second-largest city, with more than 2.85 million residents, making it the largest city in Ce ...
,
Taiwan
Taiwan, officially the Republic of China (ROC), is a country in East Asia. The main geography of Taiwan, island of Taiwan, also known as ''Formosa'', lies between the East China Sea, East and South China Seas in the northwestern Pacific Ocea ...
.
By 2017, the bank had 30 branches in Taiwan, employed 1,100 people, and had NT$6.3 billion under management.
16 of the branches are in Taichung, while the rest are in Taipei,
Xinzhuang,
Banqiao, and Nanbu.
The bank was founded in 1915 as a
private limited company
A private limited company is any type of business entity in Privately held company, "private" ownership used in many jurisdictions, in contrast to a Public company, publicly listed company, with some differences from country to country. Example ...
named Taichung Credit Union ().
It primary clientele then was Japanese people living in Taiwan.
In 1999, the credit union was reorganized into a commercial bank.
COTA Bank frequently received media attention for its management rights disputes and
mergers and acquisitions
Mergers and acquisitions (M&A) are business transactions in which the ownership of a company, business organization, or one of their operating units is transferred to or consolidated with another entity. They may happen through direct absorpt ...
.
Analysts said that COTA Bank experienced management rights disputes in 2017 two times within three years for several reasons.
Although its scope is not large, it over the years accumulated "a stable source of customers" in Taichung, Kaohsiung, Taipei, and other areas which gave it a stable profit, analysts said.
The
barriers to entry
In theories of Competition (economics), competition in economics, a barrier to entry, or an economic barrier to entry, is a fixed cost that must be incurred by a new entrant, regardless of production or sales activities, into a Market (economics) ...
to COTA Bank are low owing to its small
share capital
A corporation's share capital, commonly referred to as capital stock in the United States, is the portion of a corporation's equity that has been derived by the issue of shares in the corporation to a shareholder, usually for cash. ''Share ...
.
The largest shareholder in the bank in 2017 were Chuan Cheng Hat Company (), which owned 15%; , which owned 9.6%; and
Far Eastern Air Transport
FAT Taiwan Inc., () doing business as Far Eastern Air Transport (FAT), was an airline with its head office in Songshan District, Taipei, Taiwan (Republic of China).
Established in 1957, it operated domestic services from Taipei and Kaohsiung ...
, which owned 4%.
See also
*
List of banks in Taiwan
This is a list of banks in Taiwan, including the government-owned banks of the Taiwan.
Central Bank
* Central Bank of the Republic of China (Taiwan)
Governmental institutions
Existing National Institutions
* Agricultural Bank of Taiwan
* ...
References
External links
Official website
{{Banks of Taiwan
1915 establishments in Taiwan
Banks of Taiwan
Banks established in 1915
Companies based in Taichung