China Huarong sells 21% stake for $2.4b

China Huarong Asset Management has brought in eight strategic investors, including Goldman Sachs, Warburg Pincus and Khazanah, ahead of a planned IPO next year.

Efforts to attract more private capital into China's sprawling state-owned enterprises gathered pace on Thursday when China Huarong Asset Management sold a 21% stake to eight strategic investors for Rmb14.5 billion $2.4 billion.

China's largest bad-debt manager sold the stake to Goldman Sachs, Malaysian sovereign fund Khazanah, Warburg Pincus, China Life Insurance, Fosun International, CICC, Citic Securities International and Cofco, ahead of an expected initial public offering of shares. All are new investors with the exception of China Life Insurance, which held a 1.94% stake prior to the sale.

The size of each investor's investment was not disclosed but one source familiar with the matter...

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