BLACKSTONE China has received regulatory approval to raise funds to be invested overseas, reports Reuters.

China Investment Corporation, China's sovereign wealth fund, sold its stake in Blackstone Group five years ago, said the American private equity giant, in a recent filing.

Blackstone China has joined other global asset managers in seeking to tap Chinese investor demand for foreign assets. Blackstone registered a fund management unit with the Asset Management Association of China under the qualified domestic limited partnership (QDLP) programme, a notice from the regulator showed.

The unit, which was established in March, has seven full time employees, including five fund professionals, the notice said.

The quota-based QDLP programme, first launched in 2012, allows foreign and domestic fund managers to raise money from Chinese high-net worth individuals and institutions which is then fed into offshore funds.