Portugal Discusses Chinese Capital Injection In BCP - Report

Portuguese and Chinese authorities have discussed informally the possibility that a Chinese bank invests in Banco Comercial Portugues SA (BCP.LB), daily Publico reports Friday, without citing sources.

According to the newspaper, Industrial & Commercial Bank of China Ltd.(1398.HK) and China Development Bank are among the banks involved in the discussions, which were reportedly held at a time when the Portuguese government was handling the sale of a 21% stake in utility EDP-Energias de Portugal SA (EDP.LB). Government-controlled China Three Gorges Thursday won the bidding.

Such an investment would help BCP strengthen its capital position at a time when Portuguese banks are being asked to increase their capital to comply with the requirements imposed by the European Union authorities and the terms of Portugal's EUR78 billion international bailout.

BCP declined to comment on the report.

Full story: http://publico.pt/

-Contributed by Carla Canivete of Webtexto to Dow Jones Newswires; [phone]; [e-mail]