Investment bank Morgan Stanley is going where a new world economic power is rising — China. Morgan Stanley announced Monday, Oct. 2, it purchased Zhuhai-based Nan Tung Bank for an undisclosed price. The deal gives Morgan Stanley a leg up on its American investment banking rivals with a coveted onshore commercial banking license in China. With the approval from the China Banking Regulatory Commission, the New York-based investment bank will be able to apply immediately to offer yuan-denominated products as well as offer a broader range of products and services. Morgan Stanley joins a small circle of banks that have a license for commercial banking in China, among them are international investment banks Credit Suisse of Switzerland and Societe Generale of France. "We want to build the leading, fully integrated financial services firm in China and the acquisition of Nan Tung Bank is another important milestone in our pursuit of that strategy. We are pleased to be the first among our peers to establish an onshore commercial banking platform in China," Morgan Stanley Chairman and CEO John Mack said in a statement. — Gerald Magpily
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