Bank of Hangzhou

Bank of Hangzhou, also known as BOH, is a Chinese joint-stock commercial bank headquartered in Hangzhou, Zhejiang. The institution was established on 26 September 1996 as Hangzhou City Commercial Bank and initially concentrated much of its activity in Zhejiang province. It was created as a locally rooted commercial bank serving businesses, institutions and individuals in one of China's economically dynamic coastal regions. In July 2008, it adopted its present name, Bank of Hangzhou. The bank developed an international shareholder base during its early expansion. Commonwealth Bank of Australia acquired a 19.9% interest in April 2005 for A$100 million, obtaining board representation and providing technical assistance. The Asian Development Bank acquired a 5% holding in December 2006 for US$30 million. The ADB later exited the investment, selling its entire stake to China Life Insurance Company in 2014. These transactions gave Bank of Hangzhou access to foreign banking expertise and institutional capital while leaving it closely connected to the Hangzhou market. A distinctive part of the bank's business model has been technology finance. Hangzhou is home to a large technology and entrepreneurial ecosystem, including Alibaba Group and numerous technology start-ups. Bank of Hangzhou has sought to address the financing problems of technology-oriented small and medium-sized enterprises, which may have limited fixed assets or short operating histories but possess intellectual property, equity value or strong growth prospects. In 2009, it established a dedicated subsidiary for technology SME finance. In 2010, it expanded this activity to Beijing's Zhongguancun technology district and became one of the early banks to support small and medium-sized enterprises in using equity pledged through the National Equities Exchange and Quotations as a financing resource. A specialized technology finance department followed in 2016, and the bank opened a branch at the Shanghai Science and Technology Innovation Center in 2021. This technology-finance orientation has sometimes led observers to compare Bank of Hangzhou's approach with the sector-focused model associated with Silicon Valley Bank, although Bank of Hangzhou remains a Chinese commercial bank with a broader banking franchise. Its activities include corporate and SME banking, personal banking, financing, deposit-taking and other commercial banking services, with technology enterprises forming a notable strategic focus rather than the bank's sole market. Bank of Hangzhou became a publicly traded company on the Shanghai Stock Exchange in October 2016. Its initial public offering raised approximately RMB 3.8 billion, below the originally targeted amount. Commonwealth Bank was subject to a three-year restriction on selling its shares after the offering. In March 2022, Commonwealth Bank sold 10% of its Bank of Hangzhou stake to the Hangzhou city government for A$1.8 billion, reducing Commonwealth Bank's remaining interest to 5.56%. Commonwealth Bank reported a post-tax gain of A$340 million from the transaction. The sale was approved in approximately four months, despite market discussion about the possible difficulty of obtaining regulatory approval for a large foreign-shareholder exit from a Chinese financial institution. Bank of Hangzhou remains an active Chinese commercial bank whose identity combines regional roots, public-company status and a differentiated emphasis on technology-sector and SME finance. Its brand is principally associated with Hangzhou, business banking and efforts to adapt credit products to innovative companies and emerging enterprises. Bank of Hangzhou Co., Ltd. is a regional joint-stock commercial bank based in Hangzhou, Zhejiang, China. The bank says it was established in September 1996 and describes its market focus as serving the regional economy, small and medium-sized enterprises, and urban and rural residents. It presents its service approach as professional, convenient, and customer-oriented, and characterizes itself as a regional bank with sound asset quality and operating performance that ranks among China’s leading city commercial banks. The bank provides a broad mix of financial services. Its business banking offerings include deposits, cash and treasury management, corporate lending, trade finance, investment banking, and advisory services. International services include cross-border financing, foreign-exchange services, and international settlement. Its retail portfolio includes savings and time deposits, mortgages, consumer and auto loans, debit and credit cards, wealth-management products, and private-banking services. Small-business and micro-business offerings include loans, deposit products, and cash-management services. The bank also provides online and mobile banking, payment and transfer services, and other digital channels. Institutional and financial-market activities listed by the bank include securities investment and trading, bond services, bill financing, interbank business, and custody services. Its website states that it obtained securities investment fund custody qualification in March 2014 and insurance asset custody qualification in January 2016. The bank presents its custody services as spanning multiple types of investment and financial products. Bank of Hangzhou is an active, publicly listed bank whose business is rooted in its home region while its listed services include nationwide and cross-border financial products. Its official website is https://www.hzbank.com.cn. The supplied official material does not identify a founder, controlling owner, parent company, or current senior executives, so those details are not stated here. Bank of Hangzhou listed on the Shanghai Stock Exchange in October 2016. Its initial public offering raised approximately RMB 3.8 billion, less than its initial target. Commonwealth Bank was subject to a three-year restriction on selling its shares after the listing. In March 2022, Commonwealth Bank sold a 10% stake in Bank of Hangzhou to the Hangzhou city government for A$1.8 billion, reducing its remaining holding to 5.56%. Commonwealth Bank reported a post-tax gain of A$340 million on the transaction. Although market discussion suggested that foreign major shareholders exiting Chinese financial institutions might struggle to obtain regulatory approval, the transaction was approved in about four months. Bank of Hangzhou remains an active Chinese commercial bank whose identity combines regional roots, listed-company status, and a differentiated emphasis on technology-sector and SME finance. Its brand is primarily associated with Hangzhou, corporate banking, and efforts to adapt credit products for innovative and emerging enterprises. Its official website is https://www.hzbank.com.cn.

Bank of Hangzhou was founded on 26 September 1996 as Hangzhou City Commercial Bank. Its original business was primarily regional, with a strong presence in Zhejiang province and a mandate typical of a city commercial bank: supporting local enterprises, public-sector activity and individual customers through deposits, lending and related financial services. The bank's ownership structure began to internationalize in the 2000s. In April 2005, Commonwealth Bank of Australia purchased 19.9% of the institution for A$100 million. The investment included board representation and technical support. In December 2006, the Asian Development Bank acquired a 5% stake for US$30 million. The ADB holding was subsequently sold to China Life Insurance Company in 2014. These investments connected the bank with overseas financial institutions while it continued to operate as a Chinese commercial bank centered on Hangzhou. In July 2008, Hangzhou City Commercial Bank changed its name to Bank of Hangzhou. During this period, the institution increasingly developed a financing proposition for technology businesses and innovative SMEs. Hangzhou's technology economy, including the presence of Alibaba Group and a broad start-up community, created demand for credit models that could address companies with limited collateral, intangible assets and rapid growth profiles. Bank of Hangzhou established a dedicated technology-SME-financing subsidiary in 2009. In 2010, it extended this specialization to Zhongguancun and supported SME financing involving equity pledged through the National Equities Exchange and Quotations. The bank created a specialized technology finance department in 2016 and later expanded its presence in Shanghai's innovation ecosystem by opening a branch at the Shanghai Science and Technology Innovation Center in 2021. Technology finance became an important differentiator, although it did not replace the bank's broader commercial activities. Bank of Hangzhou continued to provide corporate, SME and personal banking services, with the technology sector treated as a strategic customer segment. The bank's approach has been compared with the sector-focused lending model of Silicon Valley Bank, but the comparison concerns specialization in technology enterprises rather than corporate identity or ownership. In October 2016, Bank of Hangzhou completed an initial public offering on the Shanghai Stock Exchange. The offering raised approximately RMB 3.8 billion, less than the bank's initial target. Commonwealth Bank was restricted from selling its shares for three years after the listing. The public listing marked a transition from a predominantly regional city commercial bank toward a more widely held, capital-market-accessible institution. In March 2022, Commonwealth Bank sold 10% of its interest to the Hangzhou city government for A$1.8 billion, leaving Commonwealth Bank with a 5.56% stake. Commonwealth Bank recorded a post-tax gain of A$340 million. The transaction attracted attention because foreign ownership changes in Chinese financial institutions can require regulatory approvals and because Commonwealth Bank had previously experienced a lengthy approval process for another Chinese insurance-stake disposal. In this case, approval for the Bank of Hangzhou transaction was obtained in about four months. Bank of Hangzhou is therefore defined by three overlapping developments: its origins as a Hangzhou-focused city commercial bank, its evolution into a publicly listed joint-stock bank, and its technology-finance strategy designed for innovative SMEs. It remains active in China, with its brand closely linked to Hangzhou's commercial and technology economy. Bank of Hangzhou states that it was established in September 1996. From its beginning, the bank says, it has focused on serving the regional economy, small and medium-sized enterprises, and urban and rural residents. Its institutional identity is that of a regional joint-stock commercial bank based in Hangzhou, with a range of services extending beyond conventional retail deposits and lending into corporate banking, small-business finance, international business, financial markets, and custody. As the bank’s business developed, it assembled services for several customer groups. For companies, the current portfolio includes deposits, corporate lending, cash and treasury management, trade finance, investment banking, and advisory services. The bank’s international business includes settlement, trade-finance facilities, cross-border financing, and foreign-exchange products. For households, its offerings include savings, mortgages, consumer and auto loans, cards, wealth management, and private banking. Small-business and micro-business services form a distinct part of the bank’s customer proposition, with dedicated lending and deposit products. The bank’s official website records two milestones in the development of its custody business: it obtained securities investment fund custody qualification in March 2014 and insurance asset custody qualification in January 2016. The website lists custody for a range of assets and institutions, including securities investment funds, private investment funds, trust property, commercial-bank wealth-management products, and insurance asset-management products. These qualifications indicate the expansion of the bank’s institutional services alongside its lending and deposit businesses. The bank describes its subsequent development as having produced sound asset quality and operating performance and a position among China’s leading city commercial banks. Its present-day official site displays services across corporate, retail, small-business, credit-card, electronic-banking, financial-market, international, and custody businesses. It also lists digital channels such as personal and corporate online banking, mobile banking, WeChat banking, SMS banking, and self-service terminals. The supplied official materials do not provide a detailed account of the bank’s initial formation, founders, ownership history, branch expansion, listing history, or leadership changes. Accordingly, this history records only the establishment date, strategic description, business areas, and dated custody qualifications supported by the available evidence. The bank remains active, and its official website continues to present it as a provider of regional commercial banking and related financial services.

• 2022

  Commonwealth Bank partial exit

  [1]Bank of Hangzhouen.wikipedia.org

  Commonwealth Bank sold 10% of its stake to the Hangzhou city government, reducing its remaining holding to 5.56%.

• 2021

  Shanghai technology-finance expansion

  [1]Bank of Hangzhouen.wikipedia.org

  The bank opened a branch at the Shanghai Science and Technology Innovation Center.

• 2016

  Shanghai Stock Exchange listing

  [1]Bank of Hangzhouen.wikipedia.org

  The bank completed its IPO and raised approximately RMB 3.8 billion.

• 2016

  Technology finance department established

  [1]Bank of Hangzhouen.wikipedia.org

  A specialized technology finance department was launched to deepen the bank's support for technology enterprises.

• 2016

  Insurance asset custody qualification

  The bank obtained insurance asset custody qualification in January 2016.

• 2014

  Securities investment fund custody qualification

  The bank obtained securities investment fund custody qualification in March 2014.

• 2010

  Expansion into Zhongguancun

  [1]Bank of Hangzhouen.wikipedia.org

  Bank of Hangzhou expanded its technology-finance activity to Zhongguancun and supported SME financing involving equity pledges on the National Equities Exchange and Quotations.

• 2009

  Dedicated technology-SME finance subsidiary

  [1]Bank of Hangzhouen.wikipedia.org

  The bank launched a dedicated subsidiary focused on financing technology-oriented SMEs.

• 2008

  Name change to Bank of Hangzhou

  [1]Bank of Hangzhouen.wikipedia.org

  Hangzhou City Commercial Bank adopted the Bank of Hangzhou name.

• 2006

  Asian Development Bank investment

  [1]Bank of Hangzhouen.wikipedia.org

  The Asian Development Bank acquired a 5% minority interest.

• 2005

  Commonwealth Bank investment

  [1]Bank of Hangzhouen.wikipedia.org

  Commonwealth Bank of Australia acquired a 19.9% stake, gaining board representation and providing technical support.

• 1996

  Establishment as Hangzhou City Commercial Bank

  [1]Bank of Hangzhouen.wikipedia.org

  Hangzhou City Commercial Bank was established on 26 September 1996, initially focusing largely on Zhejiang province.

• 1996

  Bank established

A regionally rooted Chinese commercial bank with a strong technology-finance and SME-banking orientation, serving Hangzhou's business ecosystem while operating as a publicly listed national banking institution. A regional joint-stock commercial bank focused on the regional economy, small and medium-sized enterprises, and urban and rural residents, with a broad range of corporate, retail, institutional, and digital services.

• SME and innovation finance · 2009

  Technology finance

  Bank of Hangzhou's technology-finance business is designed for technology-oriented SMEs and innovative companies. It developed dedicated organizational capabilities, expanded into Zhongguancun and later established a specialized department. The model is intended to address businesses whose financing needs may not be met by conventional collateral-based lending, including enterprises with significant growth potential, intellectual property or equity-related assets.

• Commercial banking · 1996

  Corporate and SME banking

  Corporate and SME banking forms the core of Bank of Hangzhou's commercial-bank franchise. It serves businesses through lending, deposits and related financial services, with particular relevance to companies in Hangzhou, Zhejiang and other Chinese commercial and technology centers. Services listed include corporate deposits and loans, cash and treasury management, domestic trade finance, investment banking, and advisory services.

• Retail banking

  Personal banking

  The bank also operates a personal-banking business within its broader commercial banking model. The available reference material identifies personal banking as part of the institution's general banking scope but does not provide enough detail to specify individual product names or launch dates. The bank also operates a personal-banking business within its broader commercial banking model. The bank lists savings deposits, personal mortgages, consumer and auto loans, cards, wealth-management products, and private-banking services.

• Corporate banking and trade finance

  Services listed include corporate deposits and loans, cash and treasury management, domestic trade finance, investment banking, and advisory services.

• Retail banking

  The bank lists savings deposits, personal mortgages, consumer and auto loans, cards, wealth-management products, and private-banking services.

• SME banking

  Small-business and micro-business banking

  Listed services include micro-business loans, tax-related loans, farmer loans, deposits, and cash-management products.

• International banking

  International banking

  The bank lists international settlement, trade finance, cross-border financing, and foreign-exchange services.

• Custody and safekeeping

  Custody services

  The bank lists custody and safekeeping services for funds, wealth-management products, insurance asset-management products, and trust property. It obtained securities investment fund custody qualification in March 2014 and insurance asset custody qualification in January 2016.

• 2024

  Fined 1.1 million yuan for entrusted loan fees and submitting erroneous data to regulators

  In August 2024, the Zhejiang Financial Regulatory Bureau fined Bank of Hangzhou 1.1 million yuan for issues including illegally charging entrusted loan fees, imprudent risk asset weight measurement, reporting erroneous data, and EAST data quality problems.

  Source 1Source 2

• 2024

  Zhoushan Branch Fined 1 Million Yuan for Imprudent Management of Loan Purposes

  In March 2024, the Zhoushan Branch of Bank of Hangzhou was fined 1 million yuan for imprudent management of financial leasing cooperation business and personal loan management, and for using working capital loans for fixed asset construction; the relevant account manager was warned.

  Source

• 2022

  Fined 5.8 million yuan for anti-money laundering violations including transactions with unidentified customers

  In 2022, the People's Bank of China Hangzhou Central Sub-branch fined Bank of Hangzhou 5.8 million yuan for violations including customer identity verification, suspicious transaction reporting, and conducting transactions with unidentified customers, and held relevant personnel accountable.

  Source 1Source 2

• 2021

  China Yintai fined for unreported acquisition

  China’s State Administration for Market Regulation fined China Yintai Investment Co., Ltd. RMB 500,000 for acquiring a 34.92% stake in Hangyin Consumer Finance and obtaining joint control without filing the concentration for review. The regulator determined that the transaction violated the Anti-Monopoly Law.

  Source

• 2017

  Penalized by the central bank for violations in statistics, accounts, credit reporting, and anti-money laundering

  In January 2017, the Hangzhou Central Sub-branch of the People's Bank of China imposed penalties on Bank of Hangzhou for multiple violations including financial statistics, fiscal treasury, accounts, credit reporting, and anti-money laundering; this entry consolidates the same penalty decision.

  Source

• 2017

  Ningbo Branch Penalized RMB 600,000 over Bill Background and Project Loan Documents

  In April 2017, the Ningbo Branch of Bank of Hangzhou was fined RMB 200,000 on each of three counts, including inadequate interbank internal controls, inauthentic trade background for bills, and altered copies of project approvals. In April 2017, the Ningbo Branch of Bank of Hangzhou was fined RMB 200,000 on each of three counts: inadequate interbank business internal controls, inauthentic trade background for bills, and alteration of a photocopy of a project approval document.

  Source

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• 2022

  Commonwealth Bank sold a 10% stakeM&A

  Background

  Commonwealth Bank reviewed its investment in Bank of Hangzhou and reached an agreement with the Hangzhou city government.

  Action taken

  It sold 10% of its Bank of Hangzhou holding for A$1.8 billion, leaving it with a 5.56% interest.

  Aftermath

  Commonwealth Bank reported a post-tax gain of A$340 million. The approval process took approximately four months.

  Sale proceeds. A$1.8 billion (March 2022)

  Source

• 2016

  Initial public offeringOther

  Background

  Bank of Hangzhou pursued access to public equity markets as part of its development as a joint-stock commercial bank.

  Action taken

  It listed on the Shanghai Stock Exchange in October 2016.

  Aftermath

  The IPO raised approximately RMB 3.8 billion, while Commonwealth Bank remained subject to a three-year share-sale restriction.

  IPO proceeds. RMB 3.8 billion (October 2016)

  Source

• 2016

  Obtained insurance asset custody qualificationOther

  Action taken

  The bank obtained insurance asset custody qualification in January 2016.

• 2014

  Obtained securities investment fund custody qualificationOther

  Action taken

  The bank obtained securities investment fund custody qualification in March 2014.

• 2009

  Created a dedicated technology-SME finance subsidiaryStrategy

  Background

  Hangzhou's technology economy created demand for financing adapted to innovative SMEs and start-ups.

  Action taken

  The bank launched a subsidiary specializing in financing technology-oriented small and medium-sized enterprises.

  Aftermath

  Technology finance became a recurring strategic focus and was later supported by a dedicated department and additional branches.

  Source

• 2008

  Adopted the Bank of Hangzhou nameStrategy

  Background

  The institution had operated as Hangzhou City Commercial Bank since its founding and sought a name reflecting its broader commercial-bank identity.

  Action taken

  It changed its name to Bank of Hangzhou in July 2008.

  Aftermath

  The new name became the bank's continuing public identity.

  Source

• 2022

  Commonwealth Bank sold part of its Bank of Hangzhou holding[1]Bank of Hangzhouen.wikipedia.org

  M&A

  Commonwealth Bank sold a 10% stake to the Hangzhou city government for A$1.8 billion, reducing its remaining interest to 5.56%. Commonwealth Bank reported a post-tax gain of A$340 million.

• 2016

  Bank of Hangzhou completed its Shanghai Stock Exchange IPO[1]Bank of Hangzhouen.wikipedia.org

  Product launch · Other

  Bank of Hangzhou became publicly listed on the Shanghai Stock Exchange and raised approximately RMB 3.8 billion in its initial public offering.

• 2008

  Hangzhou City Commercial Bank adopted the Bank of Hangzhou name[1]Bank of Hangzhouen.wikipedia.org

  Other

  The institution was renamed Bank of Hangzhou, establishing the name used by the bank today.

• 2006

  Asian Development Bank took a minority stake[1]Bank of Hangzhouen.wikipedia.org

  M&A

  The Asian Development Bank acquired a 5% interest in Hangzhou City Commercial Bank. It later sold the holding to China Life Insurance Company in 2014.

• 2005

  Commonwealth Bank acquired a strategic stake in Hangzhou City Commercial Bank[1]Bank of Hangzhouen.wikipedia.org

  M&A · Other

  Commonwealth Bank acquired a 19.9% interest in Hangzhou City Commercial Bank, received board representation and agreed to provide technical support.

1. 1Bank of Hangzhouen.wikipedia.org
2. 2杭州银行 official homepagehzbank.com.cn
3. 3付利宝hzbank.com.cn
4. 4产品特色hzbank.com.cn
5. 5运行公告hzbank.com.cn
6. 6Fined 5.8 million yuan for anti-money laundering violations including transactions with unidentified customersjiemian.com
7. 7Fined 5.8 million yuan for anti-money laundering violations including transactions with unidentified customerscqn.com.cn
8. 8Fined 1.1 million yuan for entrusted loan fees and submitting erroneous data to regulatorsstcn.com
9. 9Fined 1.1 million yuan for entrusted loan fees and submitting erroneous data to regulators21jingji.com
10. 10Penalized by the central bank for violations in statistics, accounts, credit reporting, and anti-money launderingjiemian.com
11. 11China Yintai fined for unreported acquisitionfinance.sina.com.cn