Shanghai AJ Corp, Shougang Holding Ltd and Cheung Kong Holdings will form a joint venture to purchase 120 million new shares of Shanghai AJ. No financial details were provided

Shanghai AJ in a statement filed with the Shanghai Stock Exchange, said that Shougang Holding will own 70% of the joint venture, while Mr Li will hold the remainder.

Shanghai AJ added that the joint venture has promised to participate in the restructuring of its securities unit Aijian Trust. Shanghai AJ holds a 98 pct stake in Aijian Trust, which has registered capital of CNY 1 billion.

The venture will pay cash to acquire no more than 49% of Aijian Trust, becoming its second largest shareholder after the restructuring.