The northeastern Chinese city of Shenyang is drawing up plans to take over the biggest shareholder of Hong Kong-listed Brilliance China Automotive Holdings Ltd. for about 16 billion yuan ($2.3 billion), according to people familiar with the matter, as the municipal government seeks to rescue the state-backed defaulter.
Shenyang is in talks to secure financing for acquiring Brilliance Automotive Group Holdings Co., which is undergoing a court-led restructuring process, one of the people said. Brilliance Auto’s creditor committee may vote on the government’s proposal as soon as next week, the people said, asking not to be identified as the information is private.
