NEWS
China raises ceiling on foreign ownership of Sino-overseas securities ventures
27 August 2012
Category:
News, Asia, China, Taiwan
By Hui Ching Hoo
The China Securities Regulatory Commission (CSRC) has initiated a consultation exercise for the establishment of securities companies with foreign equity participation rules to raise the ceiling on foreign partner stakes in Sino-overseas securities JV to 49% from the current 33.3%, they announced on Saturday (August 25).
The measure also stipulates that at least one shareholder from the domestic side should have no less than a 49% stake in the JV.
Separately, Taiwan’s Financial Supervisory Commission noted that it is mulling allowing more domestic securities houses to form consortiums with mainland counterparts. The consortiums can undertake the financial advisories of cross-border IPOs and mergers for Taiwanese enterprises on the mainland, according to a report from the Economic Daily News published Monday (August 27).
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