Morgan Stanley and CICC are believed to have been awarded joint books for the flotation of the Guangdong Grid Co, which is being used by the Chinese government as a pilot study for its reform of the entire sector. The flotation of the transmission and distribution network TD of what is currently known as the Southern Alliance is expected either late this year or at the latest early next year and although both houses are faced with a large restructuring task, they have recently been aided by the release of a reform framework for the entire sector.
In this respect the deal may face less of a challenge than the outstanding telco mandates....
