UPDATE 2-China's ICBC in $545 mln bid for ACL bank

* ICBC to buy 19.26 pct of Thailand's ACL Bank for $105 mln

* Plans to make an offer for all shares of ACL

* Deal helps ICBC gain foothold in Southeast Asia

* Thai govt ready to sell its 30 pct ACL stake to ICBC

* ICBC stock dips in weak HK market; ACL shares jump 7 pct (Adds analyst quotes)

By Alison Leung and Samuel Shen

HONG KONG/SHANGHAI, Sept 30 (Reuters) - Industrial and Commercial Bank of China (ICBC), the world's largest bank by market value, plans to buy Thailand's ACL Bank ACL.BK for about $545 million, helping it expand its footprint in Southeast Asia.

The deal, which represents ICBC's (1398.HK) first acquisition in Thailand, is one of a handful of overseas purchases by the bank in the last few years.

"Compared with western countries, it's relatively easier for Chinese banks to operate in Southeast Asia, where there're many ethnic Chinese," said Jin Lin, analyst at Orient Securities Co.

"Chinese banks would also benefit from booming trade in the region, as well as China's efforts to regionalize its currency, the yuan."

ICBC said it has agreed to buy a 19.26 percent stake in ACL Bank from Bangkok Bank BBL.BK for 3.52 billion baht ($105 million), and also plans to make an offer for ACL's remaining shares, it said in a statement late on Tuesday.

ICBC will buy shares in Thailand's smallest lender for 11.5 baht each, 15 percent higher than ACL's Tuesday closing price of 10 baht, valuing ICBC's entire stake bid for ACL at 18.29 billion baht ($545 million).

ACL shares were up 7 percent at 10.7 baht in midday trade on Wednesday. ICBC's Shanghai shares (601398.SS) shed 0.4 percent in a broader market .SSEC up 0.7 percent. ICBC boasts a market value of about $237 billion.

"Thailand, which has a significant economy and geographical advantage, will serve as a platform for the bank to enter into the Mekong River region," ICBC said.

Earlier this month, ICBC Vice President Yi Huiman said emerging markets in Asia will be its first choice for international mergers and acquisitions.

CHINESE BANKS STEP UP PURCHASES

The acquisition will also have important strategic value for the bank to expand its overseas institutional and operational network in the Southeast Asia region, ICBC said.

ICBC and other Chinese banks are increasing overseas acquisitions at a time many western banks such as Citigroup Inc (C.N) have scaled back expansion due to the financial crisis.

In June, ICBC announced plans to buy 70 percent of Bank of East Asia's (0023.HK) Canadian unit [ID:nSHA92302], and previously bought a 20 percent stake in South Africa's Standard Bank (SBKJ.J).

ICBC said the general offer for ACL Bank is conditional on regulatory and shareholder approvals and on ICBC having acquired 51 percent or more of all issued ACL shares.

"It's a tiny deal, but important strategically," analyst Jin said, adding that ICBC can make enough profit each year to buy 10 such banks.

The Thai Ministry of Finance, the largest shareholder of ACL with 30.6 percent of the bank, said on Tuesday it was ready to sell its ACL stake to ICBC. [ID:nBKK498377]

That stake, combined with Bangkok Bank's 19.26 percent, would give ICBC a combined stake of 49.86 percent of ACL.

ACL, the smallest Thai lender, had total assets of about 63.7 billion baht, it said.

If and when the offer is made, ICBC will decide whether to also pursue delisting of ACL shares from the stock exchange of Thailand.

For full company statement click: r.reuters.com/qem29d ($1=33.59 Baht) (Editing by Doug Young and Anshuman Daga)