Two foreign funds are expected to join Shenyang Machine Tool (Group) Co Ltd as shareholders, but the proposal still needs approval from the authorities, China Business News reported.

The newspaper's source would not identify the two funds, saying they would buy shares from hedge fund Jana, to whom Shenyang Machine Tool sold its 30 percent stake last year.

Last June, Shenyang's State-owned assets commission, which previously held a 100 percent share in Shenyang Machine Tool, said it planned to sell 49 percent, and later 30 percent was identified to go to Jana.

(China Daily)