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Wednesday, 22 May 2013

Honeymoon’s Over for Sweethearts of SOE Reform

Corporate wedding bells were ringing in 2011 when a trust controlled by insurer Ping An Insurance Group forged a partnership with a Shanghai-based cosmetics maker called Jahwa Group and its listed subsidiary Jahwa United.


The tie-up was duly praised for diversifying Jahwa’s ownership in line with a Chinese government push to reform the shareholder structures at state-owned enterprises (SOEs).


China Ping An Trust Co. paid the Shanghai government’s Municipal State-owned Assets Supervision and Administration Commission some 5.1 billion yuan for 100 percent of Jahwa Group. It also got a 27.8 percent stake in Jahwa United.


Read Full Article HERE






Shen Hu, Zheng Fei and Wang Xiaoqing via CHINA US Focus http://feedproxy.google.com/~r/ChinaUsFocus/~3/Yn7lpV8LJ2I/

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