Morgan Stanley, a global financial services firm announced having received regulatory approval for its proposed acquisition stake in its joint wealth management firm. Regulators gave Morgan Stanley Smith Barney Holdings LLC clearance  to acquire 35% stake from Citigroup Inc.

A previously established price of US$4.7 billion was offered to Citigroup. Morgan Stanley stated to get Citigroup Inc. notified of its intention to exercise its right to buy the remaining stake that it does not own in the joint wealth management firm.

The said deal is expected to take place on or before June 28.

Morgan Stanley Wealth Management is majority owned by Morgan Stanley. It was formed through the merger of Morgan Stanley's wealth management arm and Smith Barney Holdings of Citigroup Inc. The merger was done in 2009 and it became the biggest US brokerage by adviser headcount and client assets.