BEIJING, Nov 04, 2009 (Xinhua via COMTEX News Network) -- Global financial services giant
Morgan Stanley is yet again looking to sell its entire holdings in
China International Capital Corp. (CICC), the country's first and
most profitable investment bank, China Daily reported Thursday.
The U.S. investment bank had asked potential buyers to submit
indicative first-round bids for its 34.3-percent stake in CICC,
which could worth more than 1 billion U.S. dollars, the newspaper
confirmed with sources in both the U.S.-based financial advisor
and CICC.
The sources said the CICC stake sale was a precursor to Morgan
Stanley setting up another local joint venture and Chinese
regulators would not approve a new joint venture unless the
investment bank sells the CICC stake.
Morgan Stanley is planning to form a joint venture securities
firm with Shanghai-based China Fortune Securities Co., in which it
can have more management say, according to the newspaper.
Morgan Stanley was the first foreign investment bank to enter
the country in 1995 when it invested 35 million U.S. dollars to
form CICC in partnership with the state-owned China Construction
Bank.
As China's leading investment bank, CICC has specialized in
sprucing up state-owned firms ahead of initial public offerings.
Copyright 2009 XINHUA NEWS AGENCY
