French bank Societe Generale’s head of international retail banking, Jean-Louis Mattei, has arrived in Beijing in a last-ditch attempt to win support for his bank’s bid for a stake in Guangdong Development Bank, the Wall Street Journal reported. The SG-led consortium has offered US$74 million less than the Citigroup-led consortium for an 85% stake in the troubled Chinese lender. But a deal with Citigroup would leave the New York-based bank with an individual stake of 40-45%, far in excess of the 25% government limit on foreign ownership of domestic banks. Mattei is expected to argue that waiving the rules for Citigroup sets a dangerous precedent.
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