Shanghai New Huangpu Real Estate Corp, one of Shanghai's major real estate conglomerates, agreed today to purchase a 43.75 percent stake in JFCO Rich, a futures brokerage based in East China's Jiangxi Province.
The deal will bring JFCO Rich's registered capital to a total 56 million yuan from the current 31.5 million yuan, as Shanghai New Huangpu becomes the brokerage's largest shareholder, according to an announcement by the real estate giant on the Shanghai Stock Exchange website.
Launched in 1993, JFCO Rich is one of the earliest futures brokerages in China. It has seats in Dalian Commodities Exchange, Shanghai Futures Exchanges, and Zhengzhou Commodities Exchange. Headquartered in Jiangxi's provincial capital Nanchang, the company has offices in Shanghai and Zhengzhou in Henan Province, and in second-tier Jiangxi cities such as Jiujiang, Ganzhou, and Shangrao.
The deal is still pending approval from the China Securities Regulatory Commission.
It is the most recent attempt by Shanghai New Huangpu in China's futures brokerage sector. The company revealed last week that it had purchased 40 percent stake of Maike, a futures brokerage in Xi'an. The deal, valued at 120 million yuan, made New Huangpu Maike's second largest shareholder, after Xi'an Maike Metal International, which holds 45 percent stake.