Depends on cross-synergies. While the acquisition of Royal Bank of
Scotland's (RBS) assets will provide CIMB with a more extensive cash
equities/ECM platform in Asia, the deal is largely neutral on CIMB's
near-term financials and value enhancement will very much depend on just
how quickly the group can reap cross-synergies across the region. Our
Sell call and RM6.80 TP (target P/BV of 1.9x, 2012 ROE: 16.1%) are
maintained.
Maybank Research - 3 April 2012
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