Sinopec mandates banks to advise on unit revamp

    CHINA Petroleum and Chemical Corp. (Sinopec) has mandated six banks to advise it on a restructuring of its fuels distribution unit ahead of a planned initial public offering in Hong Kong, IFR reported yesterday, citing people close to the deal.

    Sinopec tapped China International Capital Corp. (CICC), China Merchants Securities, CITIC Securities Co., Citigroup, Goldman Sachs and Morgan Stanley for the financial advisory role, added IFR. The company had invited 14 banks to pitch for the role, people close to the deal previously said.

    Shaanxi to let pensions invest in stocks

    SHAANXI is set to be one of the first Chinese provinces to participate in a pension investment program that allows them to invest in financial markets for the first time, Shaanxi Daily, a newspaper in the northwestern province, reported yesterday.

    With many provinces under severe pressure to meet pension repayments, the government has promised to push forward an investment plan for idle local pension funds, holding an estimated US$290 billion, which will seek higher returns through alternative investment channels for higher returns.

    ANZ sells Shanghai Rural stake to boost capital ratio

    AUSTRALIA and New Zealand Banking Group Ltd. (ANZ) said Tuesday it will sell its 20 percent stake in Shanghai Rural Commercial Bank Co. for A$1.8 billion (US$1.3 billion), as part of its broader sell-down of Asian assets.

    China COSCO Shipping Corp. and Shanghai Sino-Poland Enterprise Management Development Corp. would buy the stake at a price-to-book ratio of about 1.1 times Shanghai Rural’s net assets as of December 2015, the Australian bank said. “The sale reflects our strategy to simplify our business and improve capital efficiency,” ANZ deputy chief executive Graham Hodges said in a statement.

    Syngenta, ChemChina seek extension of EU review

    SYNGENTA AG and China National Chemical Corp. (ChemChina) have requested an additional 10-day extension of the European Union’s antitrust review period until April 12 in order to discuss remedy options over ChemChina’s proposed acquisition of the Swiss seed and pesticide maker, Syngenta said yesterday.

    In October, Syngenta said that regulatory approval of its proposed acquisition by ChemChina was likely to be delayed into the first quarter of 2017. The companies had previously expected the deal to close by the end of 2016.