KUALA LUMPUR, June 6 Malaysia's second-biggest
lender, CIMB Group Holdings Bhd, on Tuesday said it
will sell a 50 percent stake in its international brokerage
business to China Galaxy Securities for S$167
million ($120.99 million).
CIMB had said in October last year that it was in talks with
China Galaxy to set up a 50-50 brokerage joint venture.
CIMB Securities International Pte Ltd, in which China Galaxy
is taking the stake, is the Malaysian bank's cash equities
business comprising institutional and retail brokerage, equities
research and associated securities businesses in Indonesia,
Singapore, Thailand, Hong Kong, India, South Korea, U.K. and the
The banks are also in talks about CIMB's stockbroking
business in Malaysia, it said, though no details were disclosed
on the structure of a possible deal.
The joint venture is "poised to further capitalise on
China-outbound M&As, China-ASEAN cross-border investments and
infrastructure funding," CIMB said.
The parties will work towards obtaining the necessary
regulatory approvals with a target to complete by the fourth
($1 = 1.3803 Singapore dollars)
(Reporting by Liz Lee; Editing by Sunil Nair)