June 2 (Bloomberg) -- Morgan Stanley, the sixth-largest U.S. bank by assets, raised $2.2 billion by selling common stock after regulators imposed new capital requirements on banks that want to repay government money.

The New York-based firm sold 80.2 million shares at $27.44 apiece, Morgan Stanley said today in a statement. The price was 8.2 percent below Morgan Stanley’s closing of $29.89 in New York Stock Exchange composite trading yesterday.

China Investment Corp., the state fund that bought a stake in Morgan Stanley in 2007, agreed to purchase 44.7 million shares, Morgan Stanley said. Mitsubishi UFJ Financial Group Inc., the Japanese bank that acquired a holding in Morgan Stanley last year, agreed to buy 16 million shares, the statement said.

Morgan Stanley last month sold $4.57 billion in shares after a so-called stress test by regulators determined it needed $1.8 billion to weather a worsening recession. Morgan Stanley said today’s share sale met a “supervisory condition” to enable it to repay the $10 billion the company received from the U.S. Treasury in October.

To contact the reporters on this story: Christine Harper in New York at charper@bloomberg.net; Josh Fineman in New York at jfineman@bloomberg.net.

Last Updated: June 2, 2009 09:35 EDT