Central Huijin Investment said that it will take over a 9% stake in China Construction Bank (CCB) from a wholly owned unit to raise its direct ownership of the lender, Dow Jones reported. Central Huijin, the investment arm of sovereign wealth fund China Investment Corp (CIC), will hold 57% of CCB after the stake transfer. In a statement, Huijin said the transfer would not affect CCB’s operations, and that it would continue to operate as an independent entity. However, Huijin said it would continue to increase its stake in CCB over the next 12 months; the agency has been increasing its investments in state-run banks in a bid to stabilize domestic stock markets.
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