Citadel Edged Out as UBS Opts for Beijing in Sale of Credit Suisse Unit

(Bloomberg) — UBS Group AG has agreed to sell the majority of its stake in Credit Suisse’s China venture to a Beijing-backed fund, dealing a blow to the ambitions of Ken Griffin’s Citadel Securities to expand in the world’s second-largest economy.

Under the deal, which values the money-losing business at $253.4 million, the Swiss lender will sell a 36.01% holding in Credit Suisse Securities (China) Ltd. for $91.4 million to Beijing State-owned Assets Management Co.