HSBC Inks Pact To Take Over China Fund Management Joint Venture: Report - HSBC Holdings (NYSE:HSBC)

HSBC Holdings, Plc. HSBC is headed to buy out its China fund management joint venture HSBC Jintrust Fund Management.
The company, which owns a 49% stake in HSBC Jintrust Fund Management, has inked a pact with Shanxi Trust for the deal, Reuters reported citing two persons familiar with the matter.
Under the deal, Shanxi Trust will sell its 51% holding in the joint venture to the bank, said the sources. Once the deal is complete, HSBC will own the entire stake in HSBC Jintrust.
However, Reuters added that it was not immediately clear how much HSBC would pay Shanxi Trust to buy the remaining interest in HSBC Jintrust.
The deal will likely expand HSBC Holdings's presence in the $3.8 trillion fund management market in China.
Price Action: HSBC shares are trading higher by 0.24% at $38.29 premarket on the last check Monday.