More of America sold to China as distressed assets

China Investment Corp, a $200 billion sovereign fund, is set to spend $2 billion buying U.S. distressed assets from property to infrastructure via three funds, including one managed by Goldman Sachs, sources briefed on the plan said on Tuesday.

CIC’s latest swoop on U.S. assets comes after the state-owned investment vehicle lined up to invest up to $2 billion in U.S. mortgages under a U.S. Treasury-backed plan, Reuters reported in August.

CIC, established by China’s Communist government in late 2007, plans to invest $600-$700 million each in three distressed asset investment funds.