Hongkong China - soon to be renamed Lippo China Resources Group - will be given priority to participate in financial services ventures devised by the China Resources Group, director Stephen Riady says. China Resources Holdings has acquired another 8 per cent of Hongkong China from holding company Lippo Ltd, taking its stake to 9.5 per cent. Mr Riady said China Resources might increase its stake in Hongkong China, but no timetable had been planned. 'The acquisition should bring more co-operation opportunities between China Resources and the Lippo group,' he said. He said co-operation would also include China Resources Holdings. China Resources is looking at acquiring a financial services concern in Shanghai. Hongkong China director John Lee Luen-wai believed his company would be involved in the process. Mr Riady said Hongkong China's cash in hand and other internal resources amounted to 'billions of dollars' and the company's gearing was at very low levels. He said the company had sufficient resources to finance acquisitions and had no immediate need to raise funds through new share issues or bank borrowings. As part of the Lippo Group restructuring, Hongkong China would control 50 per cent of a newly formed company, Lippo CRE Financial Services, which would in turn control 75 per cent of HKCB Bank Holding. The remaining 50 per cent of the new entity would be owned by China Resources Holdings. Nikko Securities analyst Steven Thompson said the benefits the restructuring depended on what China Resources contributed. 'For HKCB, the only difference between the old and the new structures is that China Resources' interest has been moving from the Beijing parent to the Hong Kong-listed subsidiary,' he said. He said Lippo's management would hold a meeting next week to brief analysts on the implications of the deal.