In this episode of China Money Podcast, our host Nina Xiang reviews the most important investment news this week: – China’s August PMI recovers from July, pointing to an economic soft landing – RMB1.63 trillion trade settled in the Chinese currency until July: faster growth ahead with projections of US$2 trillion trade settled in RMB by 2015 – Slow progress is witnessed a year after China allows insurance companies to allocate 5 percent of their assets to private equity investment …
In this episode of China Money Network, guest Monte Brem, CEO of private equity firm StepStone Group, shares his firm’s investments in China and how offshore investors can protect themselves when investing with local Chinese managers. Listen to the full-interview in the audio podcast, watch the shortened video version or read an excerpt. Q: You have been relocated to China for more than two years, and StepStone’s office in Beijing opened about two years ago. How have your businesses in …
3SBio Inc., a Chinese biotechnology company, says a consortium has raised its offer to take the Shenyang-based company private for about US$370 million. The consortium includes 3SBio’s CEO Dr. Jing Lou and CPEChina Fund, a China-focused private equity fund associated with CITIC Private Equity Funds Management Co.
Honeywell has agreed to buy RAE Systems, Inc. for US$340 million from its private equity owners, Vector Capital and CITIC Capital Partners. Headquartered in San Jose, California and founded in 1991, RAE Systems manufactures intelligent gas and radiation detection systems used in more than 120 countries.
NASDAQ-traded Focus Media says today that shareholders have voted to approve a deal to privatize the company, adding to a long list of Chinese companies that have quit foreign exchanges. Previously announced on December 19 last year, the go-private deal values the Shanghai-based Chinese advertising company at US$3.7 billion at a price tag of US$27.50 per American Depositary Shares (ADS), a premium of 17.6% over its last day’s closing price before the announcement.
An investor consortium led by CITIC Capital Partners says it has signed a definitive merger agreement to take NASDAQ-listed Chinese company AsiaInfo-Linkage, Inc. private in a US$890 million deal. Beijing-headquartered AsiaInfo-Linkage is a software and IT services provider to the telecommunications industry. The buyer consortium is led by US$2.6 billion-under-management
Canadian alternative asset manager Sprott Inc. says that it has entered into a joint venture agreement with CITIC Private Equity Hong Kong Management Co. to set up an offshore global resource fund. The fund will focus primarily on investment opportunities in equities and debt of global resource companies. It will be co-managed by affiliates of Sprott and CITIC PE HK.
IFC, a member of the World Bank Group, is proposing to make an investment of up to US$20 million in BioVeda‘s third China Fund, BVCF III, L.P. IFC’s investment is not to exceed 10% of the total capital of the fund. Shanghai-based BioVeda is targeting to raise US$200 million to invest in growth-stage life sciences and healthcare companies in China.
Glenview, IL-based Illinois Tool Works Inc. says that it has acquired Vesta (Guangzhou) Catering Co., a kitchen equipment maker owned by Actis Capital, a private equity firm investing exclusively in Africa, Asia and Latin America. The terms of the deal are not disclosed, but the exit came just a little over two years after Actis Capital invested in Guangzhou-based Vesta in May 2011.
CITIC Capital Holdings Ltd. (CITIC Capital) says its debut China venture fund, CITIC Capital Venture Partners, has reached final closing of US$113 million. The fund originally targeted to raise US$150 million. It is among numerous fund managers raising funds short of their targets.
CITIC Capital Holdings Limited, Oriza Holdings and China Merchants Group have formed an investor consortium to invest in S.F. Express. The investor group will acquire no more than 25% of the Shenzhen-based logistics company.
Singapore’s sovereign wealth fund Temasek Holdings says it has named Dr. Wu Yibing as its head for China, effect from 1 October 2013.
The author is Michael Werner, senior research analyst covering the Chinese and Hong Kong banks at Sanford Bernstein & Co. CITIC Bank’s profitability has lagged peers’ leading to the weakest valuation in the group.
Chinese private equity firm CITIC Capital has teamed up with New York-based Crestview Partners to buy Canadian industrial company Stackpole International.
Hefei, Anhui-based Huishang Bank Corp. has raised US$1.19 billion in an IPO on the Hong Kong Stock Exchange.
The author is Michael Werner, senior research analyst covering the Chinese and Hong Kong banks at Sanford Bernstein & Co. The Growth of interbank exposures at the Chinese Banks has been Alarming. Interbank exposures more than tripled at joint-stock banks over the past 4.5 years, and now make up 21% of their total assets vs. just 8% at large banks.
In this episode of China Money Podcast, guest Anla Cheng, partner at Sino-Century China Private Equity Partners, talks with our host Nina Xiang, about the importance of protecting intellectual property for companies in China’s financial information sector, why she thinks China’s IPO market might open sooner than expected, and her hopes for the realization of substantive reforms in China. Read an excerpt below, but be sure to listen to the full interview in audio or watch an abbreviated video version. …
Beijing-based China Cinda Asset Management Co. and Los Angeles-based Oaktree Capital Group says that the two companies have entered into a memorandum of understanding to establish a strategic partnership and to cooperate on business operations.
The author is ANZ Greater China chief economist Li-Gang Liu The People’s Bank of China announced on its website this afternoon that it conducted short-term liquidity operations (SLOs) twice at the end of October when the 7-day repo rate hit 5.7%, to ease market liquidity tightness.
CITIC Capital Partners has acquired North Carolina-based industrial company Engineered Controls International (ECI) with the company’s management team and partner investor Windjammer Capital, a U.S. middle market private equity firm.
The author is Michael Werner, senior research analyst covering the Chinese and Hong Kong banks at Sanford Bernstein & Co. In December, the Chinese banks underperformed the the MSCI Asia Pacific Excluding Japan Index (MXAPJ) by 300 basis points (bp) as eight of the nine Hong Kong-listed Chinese banks underperformed the market on the back of investor concerns regarding the seasonal year-end interbank liquidity squeeze.
Venture capital investments in China’s clean tech sector totaled US$920 million in 2013, up 156% compared with US$360 million in 2012, according to data released by consulting and research firm the Cleantech Group.
NASDAQ-listed Chinese telecommunication software firm AsiaInfo-Linkage, Inc. says that it has completed a take-private deal led by CITIC Capital Partners.
Hangzhou-based Chinese e-commerce giant Alibaba Group has acquired 54% in Chinese pharmaceutical data firm CITIC 21CN for around HK$1.3 billion (US$170 million), according to a security filing.
Chinese venture and private equity firms executed a total of 89 investments during the fourth quarter of 2013, making it the most active quarter since the third quarter of 2011, according to a release by the Emerging Markets Private Equity Association (EMPEA).
Yantai, Shandong Province-based Chinese drug-maker Luye Pharma Group, which is backed by Chinese private equity firms, is planning an IPO in Hong Kong during the first half of this year, according to media reports.
Beijing-based second-hand automobile trading platform Cheyipai has received US$50 million in series C funding, according to an announcement made on the company’s official Weibo account.
CITIC Private Equity Funds Management Co. Ltd. (CITIC PE) is considering a full buyout of Singapore-listed Chinese medical device maker Biosensors International, according to Chinese media reports.
Shanghai-based Chinese digital media and display advertising company Focus Media is planning an IPO in Hong Kong to raise as much as US$1 billion, according to media reports.
Chengdu, Sichuan province-based smart wearable maker Codoon.com has received 60 million yuan (around US$9.76 million) series A financing, according to Chinese media reports.
Hong Kong-listed television and film production firm ChinaVision Media Group says that Hangzhou-based Chinese e-commerce giant Alibaba Group has agreed to buy a 60% stake in the company for about HK$6.24 billion ($804 million), according to a company announcement.