Morgan Stanley to sell stake in CICC

Morgan Stanley will sell its 34.3% stake in China International Capital Corp (CICC) in preparation for a new mainland joint venture, naming private equity funds as potential buyers, the Wall Street Journal reported. Chinese regulators require that the firm, which hopes to establish itself in China’s share-underwriting market with management control, sell its stake in CICC before pursuing a separate JV with Shanghai-based China Fortune Securities. Morgan Stanley set up CICC in 1995 with China Construction Bank as China’s first joint-venture securities firm.