Goldman Sachs to raise over $2bn from ICBC share sale

30 September 2010

Goldman Sachs is looking to raise more than $2 billion by selling its stake in Industrial and Commercial Bank of China (ICBC).

According to the Wall Street Journal, the sale would lead to the investment bank reducing its stake in the firm from 3.9 per cent to 3.1 per cent.

The price of the shares are expected to range from HK$5.70 to HK$5.79 ($0. 73 to $0.75) while 2.75 billion shares will be available as part of the sale.

An unknown source close to the matter told the news provider that Goldman Sachs was undertaking the sale to reduce the bank’s exposure to risk.

The bank initially agreed to keep 80 per cent of its initial share in the bank back from any sale before April of this year.

Meanwhile, news reports have claimed that a team of proprietary traders at Goldman Sachs are currently in discussion with executives from Avenue Capital over potentially joining the firm.

Marc Lasry, manager of the hedge fund, is thought to be looking to take on staff from a team of traders headed up by Bob Howard.

By Jim Ottewill

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