China International Capital Corp., which is partly owned by U.S. private equity firms TPG Capital and Kohlberg Kravis Roberts & Co., will become the countries first investment bank to manage a trust company, Reuters reported, citing an article in the Financial Times. CICC will buy a 35% stake in Zheshang Trust, and will have primary responsibility for management.
(Reuters) – China International Capital Corp (CICC) is to become the country’s first investment bank to manage a trust company, with a new venture likely to launch this week, the Financial Times reported on Monday, citing a person familiar with the matter.
The newspaper said CICC will take a 35 percent stake in Zheshang Trust. Although the majority will be held by an arm of the Zhejiang provincial government, CICC will have primary responsibility for management.
In December last year, Chinese newspaper 21st Century Business Herald reported that CICC, which is partly owned by U.S. private equity firms TPG Capital and KKR was planning to buy a 35 percent stake in Zheshang Trust.
(Reporting by Brenda Goh; Editing by Muralikumar Anantharaman)