Taiwan-based CTBC Bank has received approval from the Financial Supervisory Commission to set up a consumer financing joint venture in China.

CTBC Bank is partnering with Huishang Bank, the Hefei Department Store Group and Chinese retail and property company GOME Holding Group in the joint venture, The China Post has reported.

Huishang Bank and GOME Holding will own 30% shares each of the new venture, whereas Hefai Department Store will own 5% of the total shares.

CTBC Bank with an initial investment of approximately $54.68m will be the highest shareholder of the company, owning 35% of shares.

CTBC Bank is expected to hold five out of the 12 seats in the joint venture’s board of directors.

However, the investment plan still requires approval from the China Banking Regulatory Commission, the report said.