Credit Suisse has a long-term commitment to China, having had a presence in the country for more than 30 years. Now, the bank has reached an agreement to expand its securities business in the Middle Kingdom.
Credit Suisse has reached an agreement with Founder Securities to increase its shareholding in its Credit Suisse Founder Securities Limited (CSFS) joint venture, subject to regulatory approvals, the bank said in a statement on Monday. This confirmation follows disclosure by Founder Securities to the Shanghai Stock Exchange earlier.
As a result of the agreement, Credit Suisse’s shareholding is expected to increase from 33.3 percent to 51 percent by way of capital injection. The shareholding of Founder Securities in CSFS will reduce to 49 percent as a result.
Headquartered in Beijing
Established in 2008 and headquartered in Beijing, CSFS focuses on providing a range of capital markets services to clients in the domestic China market, including sponsoring and underwriting A-shares, foreign investment shares, and government and corporate bonds as well as providing financial advisory services. Since October 2016, it has also operated a securities brokerage business in Shenzhen Qianhai.
Credit Suisse has a long-term commitment to China, having had a presence in the country for more than 30 years. During that time, Credit Suisse has established a strong Greater China franchise, with a market leading franchise across equities, investment banking and capital markets and private banking.
Among the Largest in China
It also has an asset management joint venture – ICBC Credit Suisse Asset Management – which is now among the largest in China, with total assets under management of nearly RMB 1.3 trillion ($194 billion), as of the end of December 2018.
