Troubled bad asset manager China Huarong Asset Management continues to raise new funds, this time through the sale of its majority stake in its securities brokerage unit.
Huarong has agreed to sell a 72 percent stake in Huarong Securities to state-owned investment firm China Reform Holdings, according to a regulatory filing.
Following the sale, Huarong will no longer own any interest in the securities brokerage unit.
Other existing shareholders include state-owned Guangzhou Industrial Investment Holdings Group which holds a 10.24 percent stake.
Post-Bailout Huarong
Late last year, Huarong received a 42 billion yuan ($6.6 billion) bailout from a consortium of investors led by Citic Group.
Other investors in the consortium include China Insurance Investment’s Rongxin Fund, China Cinda Asset Management, China Life and a unit of ICBC.
Huarong resumed trading earlier this month after a nine-month suspension and its listed stock price plunged by half before a continued, gradual downturn.
