TS Financial (TPE:2887) unit Taishin Securities Investment Advisory will merge with fellow group company MasterLink Securities Investment Advisory as part of an internal restructuring, according to a Tuesday Taiwan Exchange filing.
Shares slid over 2% in Wednesday's late morning trade.
Under the deal, Taishin Securities Investment Advisory will be the surviving entity, while MasterLink Investment Advisory will be dissolved after the merger.
Taishin Investment Advisory will issue 28.3 million new shares to Taishin Securities, with shareholders of MasterLink Investment Advisory receiving 0.943441 Taishin shares for each MasterLink share held. MasterLink Investment Advisory is 100% owned by TS Holdings through Taishin Securities.
The transaction remains subject to approval from Taiwan's Financial Supervisory Commission.
The restructuring is aimed at expanding scale, integrating research resources and improving service quality, the filing said.