Citics will buy a 19.9% stake each in CLSA and in Credit Agricole Cheuvreux, for a combined $374m.
The deal will allow Cheuvreux and CLSA to market shares for Citic’s Chinese clients to investors outside China.
Credit Agricole CEO Jean-Paul Chifflet said given the increasing cross border strategies of its clients, this combination will allow the banking group to consolidate Credit Agricole Corporate & Investment Bank’s (CACIB) equity model and to focus on its key international clients consistently with the medium term plan.
Citics chairman Dongming Wang said teaming up with CACIB, a complementary partner, by making these investments gives the firm tremendous excitement in creating global connectivity, for Citics to better serve its clients and investors in China and abroad.
The transaction is subject to regulatory approval and is expected to by the end of this year.
