Goldman Sachs Moves to Take Control of China Joint Venture

Goldman Sachs has applied for majority control of its Chinese joint venture, according to a story in Reuters news, the latest international bank to do so ahead of Chinese plans to eventually allow foreigners full control. The bank submitted an application with the China Securities Regulatory Commission (CSRC) to take its stake in Goldman Sachs Gao Hua Securities to 51% - the maximum permitted - from its current 33% holding. Management control would allow foreign banks to offer more services through their JVs and potentially leverage their global networks to win China market share.  Under the new agreement submitted to regulators, the securities sales, trading and research operations that currently sit in the business of its partner, Beijing Gao Hua Securities, will be folded into the joint venture.