Morgan Stanley has postponed the sale of its 34.3% stake in mainland brokerage China International Capital Corp, telling private equity bidders including Bain Capital and TPG that their offers are too low. The CICC deal highlights the widening gap between expectations of potential buyers and sellers in the buy-out market.  Morgan Stanley’s move complicates its planned new partnership with Fortune Securities in Shanghai. The US investment bank, which hoped to get at least $1bn for its CICC stake, has been told by Beijing that it cannot simultaneously be in two separate investment banking ventures in China.

This entry was posted by Gwen Robinson on Thursday, March 27th, 2008 at 5:33 and is filed under Capital markets, M&A. Tagged with bain, cicc, Fortune, morgan stanley, tpg. Edit this entry.