BEIJING, Feb. 27, 2025 /PRNewswire/ — Chinese News Network issued a press release here on Thursday to applaud the successful convening of the first Project Cooperation Summit of Guolian Minsheng Securities, saying the event symbolized a new model for the innovation of Chinese financial market.
onsite photo of the first Project Cooperation Summit of Guolian Minsheng Securities in Wuxi
The event, themed as “Converging Rivers and Lakes, Surging Towards Innovation,” was grandly held in Wuxi, Jiangsu Province, China, bring in over 300 chairpersons of listed and pre-listed companies, more than 1,000 executives from listed companies, and nearly 2,000 participants from local governments, financial institutions, industry experts, and scholars.
As the organizer of the conference, Guolian Minsheng Securities has set a strong precedent in the wave of mergers and acquisitions among Chinese securities firms, said the press release, referring the recent merge of Chinese Guolian Securities and Minsheng Securities.
On 27 December, China Securities Regulatory Commission approved Guolian Securities’ proposal to acquire 99.26% of Minsheng Securities from 45 shareholders by issuing A shares.
This is the first brokerage M&A that has received approval since the new “Nine Guidelines” was issued by the State Council in April, which ramped up supervision over China’s capital markets.
The successful merger of Guolian Securities and Minsheng Securities represents a strategic move to create a large-scale securities company with distinct business characteristics, a top market ranking, and strong comprehensive competitiveness, said the press release, explaining the merger aims to better serve the high-quality development of the economy and society.
The approval of this first-of-its-kind securities firm restructuring provides valuable experience for the industry, sets a demonstrative example, and boosts market confidence, injecting new vitality into the long-term development of China’s capital markets, the press release added.
During the event, Guolian Minsheng Securities unveiled its new strategy, which includes the development philosophy of “deepening regional presence and refining industry expertise.”
The company’s strategic goals are to build an industrial investment bank, a technology-driven investment bank, and a wealth management bank. Its central vision is to become a top-tier modern investment bank that is trusted by clients, driven by technological innovation and industrial growth, and possesses international influence and core competitiveness, said the press release.
The merger of Guolian Minsheng Securities is also expected to release significant synergies, rapidly enhancing its core competitiveness, said the press release.
If simply combined, the total assets of the merged entity would reach approximately RMB 150 billion yuan (about 20 billion USD), with major business indicators expected to rise significantly, potentially ranking within the top 20, said the press release, pointing out that a widely held view is that Guolian Minsheng Securities will further solidify its position among the top investment banks, achieving a synergistic effect of “1+1>2” in scale, quality, and efficiency, thereby rapidly elevating its industry status and comprehensive competitiveness.
According to the press release, the principal leaders of the host organization, Guolian Group, also stated that Guolian Minsheng Securities would focus on the “Industrial Investment Bank” strategy.
The company will integrate superior resources and talent, build a comprehensive financial service system suitable for the development of new productive forces, and better serve regional and sectoral development. It will also support the strengthening of enterprises and the optimization of industries, enhance the linkage between “investment banking + investment + research,” and create a benchmark for industrial-financial collaboration in the Yangtze River Delta.
Guolian Securities established Guolian Securities (Hong Kong) Co., Ltd. in 2020, making it one of the earlier securities firms to expand into international business.
Through its international subsidiaries, the company promotes capital flows between domestic and international markets, providing one-stop financial services to support the development of the real economy, said the press release.
China has been making headway on refining its market and, in 2023, the country’s, highest-level conference on financial work – the Central Financial Work Conference – proposed to “cultivate world-class investment banks and investment firms” for the first time.
A year later, China issued the “Nine Guidelines”, for leading brokerage firms to increase its competitiveness through M&A and restructuring.