CHENGDU, Dec.14 (NBD) -- Local asset management company (AMC) emerges due to surging nonperforming assets.

On Wednesday, "Merchants-Ping An Asset Management" officially released its recruitment ads. This company will be jointly established by China Merchants Group, Ping An Life Insurance and China Securities Credit Investment with an registered capital of 3 billion yuan. It is a local AMC of Shenzhen, but the company is still in preparation and the name is to be verified. In its recruitment ads, it claimed to buy and manage nonperforming assets, securities and funds after it is set up.

Due to the high demand of managing bad assets, restrictions on AMC are easing. On October, China Banking Regulatory Commission announced that at most two AMCs can be established in each province. They are allowed to mange nonperforming assets in the way of debt restructure and external transfer.