Bank of America buys stake in Chinese bank
Bank of America's deal to buy 9 percent of China Construction Bank for $2.5 billion signals its intent to be a global power. China looms as a critical market. Many financial powerhouses are figuring out how to establish a foothold ahead of 2007, when Beijing opens its banking sector to foreign competition, according to The New York Times. The deal calls for Bank of America to invest $500 million more when the bank holds its initial public offering later this year. Bank of America also receives an option to boost its stake to nearly 20 percent.
> Here's the New York Times article.
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