BEIJING, Nov.16 (InfoChina) – Five units of Sinopec Group, parent of listed Sinopec (NYSE:SNP), are selling minority stakes in 23 domestic financial institutions through the China Beijing Equity Exchange.

It is an internal integration in Sinopec Group, not really meaning to sell the stakes to other companies, an insider was cited by China Business News.

       According to China 2006 Financial Stability Report, industrial companies are not allowed to hold stakes in financial companies. For existing part, the companies should set up an independent financial company to manage their stakes in financial firms.

       Sinopec Assets Management Company, newly built up earlier this year by Sinopec Group, is the best suitable one to take the stakes.

       However, the bid requires potential buyers of the assets to be experienced in investing in the financial sector and must have at least 15 years of operating history. Their parents must have no less than 500 billion yuan of assets, and so on, which have effectively excluded the majority of domestic financial institutions from bidding.