Morgan Stanley withdraws from CICC to profit about 27 times times

Morgan Stanley reluctantly, but also gold in China to form its own visibility, and China's top set up a link to the "Caixin Net" (reporter Shen Yu) yesterday, the SFC website published an administrative license showed that CICC more than 5% of the equity change was approved on November 26.　　This marks the exit of Morgan Stanley CICC "Long March basic Walk".　　The deal was reached at the shareholder level in March this year and was submitted to the SFC for review on November 4. A 34.3% stake in CICC, which is owned by Morgan Stanley, will be divided between KKR and TPG by 11%, and the remaining two buyers are the existing shareholder, Singapore Government Investment Corporation and Singapore's Great Oriental Insurance (Eastern Life assurance Co), according to Caixin.　　Its 34.3% stake was eventually priced at about 1 billion dollars, earning about 27 times times more than the cost of a 37 million dollar stake. "It's certainly a very good investment," he said. "A person from TPG commented on this.　　Obtaining approval from the CSRC is a crucial step in the completion of the deal. "CICC and Morgan Stanley used to be father and son, and now they can count as cousins, because CICC and Morgan Stanley's shareholders are CIC."　　One industry insider commented. CICC is China's first joint venture investment bank, founded in July 1995, the registered capital of 1.037 billion yuan, by the CCB and several foreign institutions joint venture. At the time of its establishment there was no formal policy restriction such as the shareholding ratio, which was approved by the State Council.　　CCB's CICC stake was then moved to Huijin, which now holds a 43.35% stake in CICC. At that time, Morgan Stanley did not have that much ' Chinese concept ' when it invested in gold, and the joint venture investment bank did not bloom as it is now.　　According to people familiar with the situation, Morgan Stanley had dreamed of taking CICC as its subsidiary in China at the beginning of the joint venture, but then the Chinese and foreign management had an irreconcilable conflict over the dominance, and Morgan Stanley was marginalized and finally gave up and decided to quit. "It's a reluctantly for Morgan Stanley," he said. "Morgan Stanley also benefited CICC a lot," said the source. CICC almost copied a set of culture and system of Morgan Stanley, "This is not a short time on their own groping can be achieved; CICC also makes Morgan Stanley a lot of income, in addition to financial gains, there are many intangible benefits, including in China to form their own visibility and reputation, and has established ties with China's top brass. ”