The shareholding stake will rise to 51 per cent after Chinese regulatory authorities granted approval for the move, the bank said.

Chinese authorities have approved Credit Suisse’s move to become a majority shareholder in its securities joint venture, enabling the Zurich-listed bank to ramp up activities in China. 

The bank won approval from the China Securities Regulatory Commission for its joint venture called Credit Suisse Founder Securities Limited.

Credit Suisse will work with Founder Securities Co to complete the planned capital injection and related procedures. As a result, the bank’s shareholding in CSFS will increase from 33.3 per cent to 51 per cent.

“This is a significant milestone in our China strategy that complements our franchise globally as well as in Asia Pacific. As a leading global wealth manager with strong investment banking capabilities, one of our long-term goals is to make a meaningful contribution to the development of China’s financial markets as the country continues to open up its domestic financial market,” Thomas Gottstein, chief executive of Credit Suisse, said. 

CSFS was set up in 2008 and is based in Beijing; it provides a range of capital markets services to clients in the domestic China market, including sponsoring and underwriting A-shares, foreign investment shares government and corporate bonds, as well as providing financial advisory services. Since October 2016, it has also operated a securities brokerage business in Shenzhen Qianhai.