KUALA LUMPUR (June 7): Legal firm Baker McKenzie is acting for China Galaxy International Financial Holdings Limited (CGI) in the acquisition of a 50% stake in CIMB Securities International Pte Ltd (CSI).
 
In a statement today, Baker McKenzie said the acquisition and partnership with the CIMB Group strengthens CGI’s footprint in the Asia Pacific region and represents its first foray into the Asean market and beyond.
 
The deal, it said, provides greater leverage to CGI’s existing strength as a leading integrated financial services and securities provider in China.
 
CGI is buying the stake from CIMB Group Sdn Bhd, a wholly-owned subsidiary of CIMB Group Holdings Bhd, for about S$167 million (RM515 million).
 
“We're honoured and delighted to have partnered with China Galaxy on this important Belt and Road strategic acquisition,” said Baker McKenzie Hong Kong-based capital markets partner Christina Lee.
 
“The deal involves multiple Baker McKenzie and member firm offices, including Hong Kong, Malaysia, Singapore, Indonesia and Thailand, and is a showcase of our cross-border transactional capability and our compliance expertise in the financial services industry across the region,” she said.
 
CSI is an investment holding company incorporated in Singapore. The group engages in the cash equities business, comprising institutional and retail brokerage, equity research and associated securities businesses in Hong Kong, India, Indonesia, Singapore, South Korea, Thailand, the United Kingdom and the U.S.

CSI has consistently been ranked among top brokerage firms in Singapore, Indonesia and Thailand in terms of market share.
 
“This partnership will also allow the CSI group to establish a more comprehensive platform across Asia Pacific, to better serve its clients in China, South East Asia and globally. 
 
“The transaction compliments China’s “One Belt One Road” policy and shows CGI’s commitment to build and strengthen its international presence, as part of its long term strategy,” said Baker McKenzie.
 
Completion of the transaction is conditional upon regulatory approvals in the relevant jurisdictions.