Investors may take BMW’s China partner private
Chinese state-backed investors are considering taking BMW’s main Chinese joint-venture partner Brilliance private, five people with knowledge of the matter told Reuters, in the latest such deal targeting beaten down Hong Kong-listed stocks. Brilliance’s shares reversed losses and rose as much as 12.3 percent to HK$7.86, their highest since Aug 17, following the news report.
Brilliance China Automotive Holdings Ltd. has a market value of $4.6 billion and the deal to take it private would be led by state-controlled Liaoning Provincial Transportation Investment Group, which owns 12 percent of Brilliance, said the people.
The privatization would attract other Chinese state-backed investors and could kick off as soon as the fourth quarter of the year, said two sources.