Investor Capital Partners – Asia Fund, a private equity fund advised by Investor Asia Limited, has affirmed its focus on the PRC by acquiring a majority interest in a leading contract manufacturer of small household appliances in East China. This acquisition reflects the outstanding growth potential of China’s burgeoning manufacturing sector in the post-WTO era.
"With its entry into the World Trade Organization, China is poised to become the manufacturing center of the world," said Winnie Fok, Chief Executive Officer of Investor Asia, a subsidiary of Investor AB of Sweden. "The direction in which China’s manufacturing sector is rapidly growing is a perfect strategic fit with our fund, which is heavily focused on manufacturing and distribution companies targeting outsourcing and export markets."
The fund, which focuses on buyout opportunities, also targets companies with branded consumer goods and high value-added services such as business services, health care and non-bank financial services.
"During the past two months, following China’s entry into the WTO, there has been a large amount of speculation about the level of foreign investment that will take place in China," continued Ms. Fok. "For Investor Asia, China has always been a major focus and we have been actively exploring numerous investment opportunities in the manufacturing sector."
"We will continue to vigorously pursue and evaluate opportunities in China, as we are convinced the export market – and the rapid development of China’s domestic market – both provide a potentially vast area of possibilities. We will concentrate our focus on targeting companies where we can best leverage the existing expertise and experience of our network of portfolio companies, and fulfill our mandate to achieve long-term capital gains through a controlling interest in the company," concluded Ms. Fok.
About Investor Capital Partners – Asia Fund
Investor Capital Partners – Asia Fund is a private equity fund advised by Investor Asia Limited, a wholly owned subsidiary of Investor AB. The company has its offices in Hong Kong. The Asia Fund has committed capital totaling USD 322m, including Investor AB’s commitment of USD 200m.
The Asia Fund focuses on buyouts for controlling or co-control positions in companies with strong management teams, clear and sustainable competitive advantages, defendable business models and substantial development potential. Investment sectors include manufacturing companies focused on outsourcing and export markets, high value added services and consumer goods companies. Geographically, the Asia Fund will invest in North Asia, excluding Japan.
For media inquiries, please contact:
Winnie Fok, Chief Executive Officer, Investor Asia Limited, Hong Kong: +852 2801 6823, +852 2971 5876