Profile of the Company
Mega Financial Holding Company (the Company, formerly known as CTB Financial Holding Company) was formed by Chiao Tung Bank Co., Ltd. (“CTB”) and International Securities Co., Ltd. (“IS”) through the exchange of shares on February 4, 2002 and has since been listed and traded on the Taiwan Stock Exchange. On August 22, 2002, the Company acquired a 100% equity stake in Chung Hsing Bills Finance Corporation (“CHBF”) and Barits Securities Corp. (“BS”) through a share swap. On January 31, 2003, the two subsidiaries, IS and BS, were further combined with the sub-subsidiary, Chung Hsing Securities Corp., to become Mega Securities Co., Ltd. (“MSC” )(formerly Barits International Securities Co., Ltd.). The integration among the three subsidiaries was undertaken to consolidate the Company's securities businesses and further enhance its competitiveness.
To extend the Company's business domain in financial services, enlarge its economic scale, and improve overall operating performance, the Company acquired a 100% equity stake in the International Commercial Bank of China (“ICBC”) and Chung Kuo Insurance Co., Ltd. (“CKI”) through a share swap and changed the Company's name to Mega Financial Holding Company on December 31, 2002. In order to achieve resource sharing, the Central Securities Investment Trust Corporation, originally an investee of BIS, was upgraded to become the Company's direct subsidiary through cash purchase of controlling shares (93.96% shareholding as of May 31, 2007) on May 29, 2003, and its name was changed into Mega Investment Trust Corp. (“MITC”) in July 2003. In response to a government initiative to lower NPL ratios and promote the specialization of financial institutions, the Company set up Mega Asset Management Co., Ltd. (“MAM”) as its 7th subsidiary in December 2003.
To integrate distribution channels for bank assurance, the Company has upgraded Chung Yin Insurance Agency Company, originally a wholly-owned subsidiary of ICBC, to the Company’s direct subsidiary through a cash purchase on September 23, 2005. The new subsidiary was then renamed Mega Life Insurance Agency Co., Ltd. (“MLIA”) In 2009, the Company also set up Mega Venture Capital Co., Ltd. (formerly Mega CTB Venture Capital Co., Ltd.) with NT$1,000 million equity fund on December 13, 2005. The new subsidiary was set up to assist the Company in corporate development and business restructuring, as well as to create higher profit and added value. After careful assessment of the Company’s business interests, the Board of Directors passed a resolution in the board meeting convened on December 16, 2005 to acquire 5 to 26 percent stake in the Taiwan Business Bank. By the end of December 2009, the Company held a 13.44% stake in the Taiwan Business Bank.
After the careful assessment by an internationally renowned management consulting company, the Company decided to merge its two banking units, the International Commercial Bank of China (“ICBC”) and Chiao Tung Bank (“CTB”), with an effective date of August 21, 2006. With the ICBC as the absorbing company, the new company formed through the merger was renamed Mega International Commercial Bank Co., Ltd. (“MICB”)
The International Investment Trust Co., Ltd. (IIT), a securities investment trust company, became a subsidiary of MICB in 2005 as MICB increased its shareholding to 59.13%. In 2006, the Company and MICB participated in cash injection of capital for IIT and in turn achieved an equity interest of 97.76% together. To reinforce competitiveness and business strengths, IIT merged with MITC, with MITC as the dissolving company and IIT, simultaneously renamed “Mega International Investment Trust Co., Ltd.” (MIIT) being the surviving company, effective from September 17, 2007. After reduction of capital to offset loss resulting from financial crisis, MIIT becomes a wholly-owned subsidiary of the Company, effective from December 30, 2008.
As of the end of 2018, the Company has a total of 8 subsidiaries covering banking, securities, property and casualty insurance, bills financing, securities investment trust, asset management and venture capital business. The bank subsidiary MICB has 108 branches at home and 23 overseas branches, 5 overseas sub-branches and 3 overseas representative offices. Added to the bank network are its wholly-owned bank subsidiary in Thailand, with 5 branches, bringing the number of overseas outposts to 36 in total. The securities subsidiary MSC has a network of 44 branch offices in Taiwan. The bills finance subsidiary has a total of 8 branch offices in large cities on the island. The property insurance subsidiary runs 26 branch or representative offices in Taiwan and 1 representative office abroad. The Group totally has a network of 190 offices in Taiwan and 37 offices abroad with a total of 8,983 employees worldwide. The Company’s market capitalization reached NT$353 billion, ranking fourth among the 15 domestic listed financial holding companies as of December 31, 2018.