Citic Securities, one of China’s largest brokerages, on Tuesday formally acknowledged it had pulled out of a planned $1bn investment in Bear Stearns following JPMorgan’s agreement to purchase Bear. Citic said it had cancelled all negotiations over business co-operation with Bear because the basis and preconditions for strategic co-operation “no longer exist”, but would continue to seek other opportunities for overseas explansion. The collapse of the deal is a blow to Beijing’s plan of internationalising China’s state-owned financial institutions through overseas acquisitions.

This entry was posted by Gwen Robinson on Wednesday, March 19th, 2008 at 5:46 and is filed under Capital markets, M&A. Tagged with bear stearns, citic. Edit this entry.