Great Wisdom plans to buy Xiangcai Securities for $1.46b

Shanghai-listed Shanghai Great Wisdom Co Ltd, an Internet financial information and technology service provider, said it plans to purchase 100 percent of the equity of Xiangcai Securities Co Ltd, a stock brokerage listed in China's over-the-counter market for growth enterprises.

Market insiders said the 9-billion-yuan ($1.46 billion) deal, if completed, will be the first instance of an Internet company purchasing a brokerage, a milestone in China's Internet finance market.

It will be the largest deal to date between an A-share listed company and an enterprise listed in the OTC market for growth enterprises (the new third board), according to the China Securities Regulatory Commission.