The Beijing Equity Exchange has announced two transactions on its official website involving the transfer of equity of UBS Securities.
According to the latter online advertisement, two state-owned enterprises are planning to sell a total 26.01% of the shares of UBS Securities, The Paper reported.
The China National Cereals, Oils and Foodstuffs Corp., is seeking to transfer 14% shares of UBS, with a transfer price of 461.72 million yuan (US$66.68 million).
Guodian Capital Holdings Co. Ltd., an insurance subsidiary of China Guodian Corp., one of the five largest power producers in the country, also aims to transfer 12.01% of its equity of UBS at a reserve price of 396.09 million yuan.
It is worth noting that the transferee of the two property transactions must be the same party, which means investors must buy them as a whole package.
So, if UBS Group buys the package, it will hold 51% shares of UBS Securities and become the controlling shareholder of the company. Therefore, UBS Securities will also become the first foreign-controlled brokerage firm in China.