BEIJING, Dec. 18 (Xinhua) -- China's fifth national asset-management company has received its operating permit, bringing the newcomer one step closer to joining its four predecessors, which were set up in 1999, in handling distressed assets.
The new member, China Galaxy Asset Management Co., Ltd., morphed from Beijing-based Jiantou Citic Asset Management Co., Ltd., with the transformation and renaming approved in March, according to the China Banking and Insurance Regulatory Commission.
With a registered capital of 10 billion yuan (1.53 billion U.S. dollars), China Galaxy will deal with business such as the acquisition and entrusted operation of non-performing assets of financial institutions, along with the management, investment and disposal of non-performing assets.
In 1999, China set up four asset-management companies -- Cinda, Huarong, Great Wall and Orient -- to deal with the toxic assets of the country's four big state-owned banks, in a bid to help them transform into market-oriented financial institutions.
The four companies finished the state-assigned task of dealing with the toxic assets in 2006, and have since developed into financial groups operating in fields such as banking, trusts and insurance. Enditem
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