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Beijing News: SAC Issues Guide on Investing Private Capital in State-Owned Companies

Beijing News recently reported that the State-owned Assets Supervision and Administration Commission of the State Council (SAC) issued a document on an executive regulation detailing the guidelines for implementing the State Council’s orders that had first been released in 2010, encouraging private sector investment. One important guideline is to allow the private sector to invest in state-owned companies not only through a cash investment, but also a transfer of intellectual property, land, or other physical assets. The new guidelines also allow buying stock shares, company bonds or debts, and renting as means of participating in the re-organization process of state-owned companies. One of the primary goals of the new guidelines is to eliminate “discrimination against private investors.”

Source: Beijing News, May 26, 2012