KKR, TPG-Backed CICC Seeks $1B Hong Kong IPO

Beijing-headquartered China International Capital Corp., backed by global private equity giants KKR & Co. and TPG Capital, is planning to raise approximately US$1 billion in an initial public offering in Hong Kong, according to media reports.

The float, which may take place in October, will provide the Chinese financial services firm’s private equity backers a chance to exit their investments.

In 2010, KKR and TPG, along with Singapore’s GIC Private Limited and Great Eastern Holdings Ltd., acquired stakes of CICC from Morgan Stanley.

CICC was founded in 1995 by Morgan Stanley and China Construction Bank Corp, with each holding 35% and 42.5% of the joint venture, respectively.

According to CICC’s annual report, China Central Huijin Investment Ltd. is its largest shareholder with a 43.35% stake. GIC, TPG and KKR each holds 16.35%, 10.3% and 10%.

China Expert Network