A 48 percent equity stake in China Bosera Funds was sold for 6.32 billion yuan ($861.8 million) at an auction in Beijing, making it the largest equity deal ever in China's mutual fund industry.

The buyer is China Merchants Securities.

The equity stake, which translates into 131.67 yuan per share, was previously owned by Jinxin Trust Investment Corp, which is selling off assets to make debt payments.

The assets under management at Bosera Funds totaled 252 billion yuan at the end of the third quarter in 2007, the largest in China, according to its website.