JPMorgan is set to take a majority stake in its Chinese asset management joint venture China International Fund Management (CIFM).

This was made possible after the bank won a bid to buy a further 2% stake in CIFM from its JV partner Shanghai International Trust in an auction.

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The move, which is pending regulatory approvals, will raise JPMorgan’s holding in the JV from 49% to 51%. The bank has to pay RMB241.3m ($34.3m) for the additional interest.

J.P. Morgan Asset Management Asia Pacific CEO Dan Watkins said: “We are looking forward to the next steps to proceed with this acquisition, working closely with our joint venture partners.”

China’s wealth management industry has undergone a massive overhaul in the past year with regulators opening the industry to more foreign competition.

In 2017, the country allowed foreign players to take controlling stakes in their Chinese securities JVs.

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At the end of last year, UBS secured the regulatory nod to take a majority stake in its securities JV in China.

Then, earlier this year, Credit Suisse signed an agreement to increase its stake in its China securities JV.

Morgan Stanley is also eyeing a controlling stake in its Chinese JV.

Last month, China opened up its financial services sector further by ending restrictions on foreign ownership limits a year before the scheduled date.