China fund takes $2.8 bln stake in France’s Total - paper


The body that manages the bulk of China’s $1.65 trillion in foreign exchange reserves has bought a $2.8 billion stake in France’s Total, the Financial Times newspaper reported on Friday.

China’s State Administration of Foreign Exchange, or Safe, began building its 1.6% stake in the French oil group, valued at €1.8 billion ($2.82 billion), several months ago, the newspaper said, quoting a person close to the company. The investment was done with the full knowledge of Total -- the world’s fourth-largest oil firm and France’s biggest company by value -- and representatives of Safe are likely to have met Total’s team, the person said. Safe, which operates under the country’s central bank, usually invests most of its funds in low-yielding securities, such as Treasury bonds and mortgage-backed securities, but FT said the falling US dollar has also put pressure on it to diversify its portfolio.

A Total spokesman told Reuters on Thursday, that a state-owned Chinese investment fund had been buying shares in the firm in recent months, but hadn’t given a value or named the fund. (Reuters)


Household income improved in Q1 Analysis

Household income improved in Q1

Ministers in new Orbán gov't sworn in Parliament

Ministers in new Orbán gov't sworn in

Spring’s allergy season - the heat is on Interview

Spring’s allergy season - the heat is on

Airport bus fare could rise to HUF 1,500 City

Airport bus fare could rise to HUF 1,500


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.