Goldman Sachs Receives Joint Purchase Approval in China


Goldman Sachs has been approved to take full ownership of a joint venture in China, enabling the Wall Street firm to expand its operations in the country at a time when Beijing is making moves to open up its financial sector.

Progress towards Goldman Sachs’ acquisition of Beijing Gao Hua Securities from the China Securities Regulatory Commission, local partner, comes from Beijing trying to do something good his oath Allowing foreign investment banks to fully own Chinese operations in 2017.

“This marks the beginning of a new chapter for our China business after 17 years of successful joint ventures,” Goldman Sachs said in a note Sunday, adding that the approval would allow the investment bank to “position our firm for the long term.” Growth and success in this market.”

Goldman Sachs reached an agreement in December to purchase the remaining 49 percent stake in Goldman Sachs Gao Hua from its Chinese partner. Price not disclosed. The name of the company will be changed to Goldman Sachs China Securities Company.

Chinese authorities have courted global investment banks and promised financial reform, even as they hinder the operations and fundraising activities of some of China’s most well-known companies.

This summer, shortly after regulators blocked tutoring companies from making a profit, and billions have been deleted Beijing approved a request by the world’s largest asset manager, BlackRock, to sell mutual funds in China, with dollars coming from the stock market overnight. Movement seen To help calm the nerves of the investor and show that China is still open to business.

Goldman’s long story In China as one of the first foreign investment banks to open an office in the country in 1994. In 2004, it partnered with Beijing Gao Hua Securities and began offering investment banking services such as helping domestic companies raise money in financial markets.



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