JPMorgan to get controlling stake in Chinese joint venture

The Chinese market will soon witness the first joint venture firm where a foreign company will take an absolute controlling stake as part of the deeper opening up of the country's financial sector.

According to information from the Shanghai United Asset and Equity Exchange, Shanghai Trust Co Ltd announced on Monday the transfer of its 2 percent stake in CIFM, its joint venture with JPMorgan Asset Management. The transfer price is 241.3 million yuan ($35.1 million).

CIFM was founded in May 2004 with Shanghai Trust holding a 67 percent stake and JPMorgan with a 33 percent share. In August 2015, the stakes of the two companies were adjusted to 51 percent and 49 percent respectively in the joint venture.