September 28, 2009



News Flash

NEWS

Willcom Rings for an ADR Process

Willcom, Inc., backed by The Carlyle Group ('Carlyle'), is to undertake the Alternative Dispute Resolution process as it seeks to revise loan repayment terms with its creditors through this channel. It is said to be facing a ¥100 billion (US$1.1 billion) debt payment.
      Carlyle took control of Willcom in 2004. (Japan)



INSTITUTIONAL INVESTORS

China Sovereign Fund Invests in Resources Cos.

China Investment Corporation ('CIC') has agreed to invest US$850 million in the Singapore-listed Noble Group Ltd., which is a market leader in managing a global supply chain of agricultural, industrial and energy products.
      Separately, CIC has also earmarked US$1.9 billion for PT Bumi Resources Tbk, one of the world's largest exporters of thermal coal which is based in Indonesia. (People’s Republic of China)


FUNDS

Yunnan Agriculture Forms Second Fund

The Yunnan Agriculture Through Venture Capital Co., Ltd. announced the launch of its second private equity fund which has a target size of Rmb2 billion (US$294.1 million). The new fund will co-invest with its predecessor fund in the cemetery industry. (People’s Republic of China)




CCBI's Healthcare Fund Launched

CCB International Ltd has launched China’s first healthcare focused industrial fund that has a target size of Rmb5 billion (US$731.3 million). The fund has already consummated its maiden deal. (People’s Republic of China)




BOC Plans SME Fund in Guangdong

Bank of China Limited is to set up a private equity fund with Guangdong Finance Investment (Holding) Corporation Limited. The Guangdong SME Equity Investment Fund will look into small and medium enterprises located in the Guangdong province. No fund size has been disclosed. (People's Republic of China)




Mekong Capital to Raise Its 4th Fund

Mekong Capital has launched its fourth fund with a target size of US$150 million. The fund has a life of ten years and will focus on consumer-facing industries in Vietnam. (Vietnam)



INVESTMENTS

Blackstone Reconfirms its Commitment in Logistics

The Blackstone Group has committed an aggregate 1.1 billion rupees (US$23.8 million) to Allcargo Global Logistics Ltd. and increased its holdings to 12% in the logistics company. The private equity firm first made its investment in Allcargo back in 2008. (India)




KKR Increases Stake in Aricent

Kohlberg Kravis Roberts & Co. ('KKR'), together with the Canadian pension fund CPP Investment Board, have invested US$255 million in Aricent. This is the third round of financing provided by KKR to the telecommunications software company which first raised funds from financial investors in 2006. (India)




AMP Capital Investors Reconnects with Supply Chain Manager

AMP Capital Investors Limited has purchased warrants worth 83.6 million rupees (US$1.7 million) from Gati Ltd. ('Gati'), a logistics and supply chain management solutions provider. AMP Capital first committed to Gati back in early 2006. (India)




NEA Sources a BPO

New Enterprise Associates, Inc. has acquired a stake in RT Outsourcing Services Limited ('RT Outsourcing') for 650 million rupees (US$13.4 million). RT Outsourcing had earlier raised funds from Motilal Oswal Venture Capital Advisors.
      RT Outsourcing provides after-sale services, reverse logistics and call centre operations to Fortune 500 companies in India. The company has also started operations in Singapore. (India)





Ant Capital Takeover VarioSecure Networks

Ant Capital Partners Co., Ltd. has completed the buyout of VarioSecure Networks, Inc. ('VarioSecure') through a capital deployment of ¥5.7 billion (US$62.4 million).
      VarioSecure is an information technology company which is listed on the Osaka Securities Exchange's Hercules market. (Japan)




First Pharma Deal for Construction Bank

CCB Healthcare Fund Management Company has invested in Jiangyin Lanling Rubber Stoppers Co., Ltd. that makes butyl rubber seals for syringes, vials and stoppers for medical bottles. It is the management firm’s maiden deal since its healthcare fund was established. (People’s Republic of China)




Goldman Sachs Drives with Geely

The Goldman Sachs Group Inc has committed HK$2.59 billion (US$334 million) to Geely Automobile Holdings Limited ('Geely') for its convertible bonds and warrants. Upon completion of all instruments, the financial investors will hold approximately a 15.1% stake in Geely. There are reports that suggest Geely could be teaming up with Volvo, a subsidiary of Ford Motor Company. (People's Republic of China)




IDG-Accel Takes Stakes in Apparel Cos.

IDG-Accel China Capital L.P. and IDG-Accel China Capital Investors L.P. ('IDG') have secured a 2.8% stake in Bosideng International Holdings Limited ('Bosideng'). As part of the agreement, IDG will take a 10% stake in Rocawear (China) Limited ('Rocawear China'), a subsidiary of Bosideng.
      Bosideng is the largest down apparel company in China, while its Rocawear China subsidiary focuses on trendy clothing and footwear. (People's Republic of China)




Winner of Nan Shan Life to Come to Light

The winner in the bid for Nan Shan Life Insurance Company, Ltd. ('Nan Shan') is expected to be disclosed within the week. According to local press reports, ChinaTrust Financial Holding Co., Ltd ('ChinaTrust') is pitted against Primus Financial Holdings Limited, with the former believed to be offering US$2.3 billion, and US$2.2 billion by the latter. (Taiwan)




ChinaCache Enlists Intel

Intel Capital has invested into Beijing-based internet service provider ChinaCache which had earlier raised capital from Investor Growth Capital Asia and DFJ ePlanet, Qiming Venture Partners. (People’s Republic of China)




Pamplona Takes Barges in Singapore

The UK-based Pamplona Capital Management has taken control of Global Tender Barges Pte Ltd ('Barges Pte'), a wholly-owned subsidiary of Norway-based Global Tender Barges ASA. The transaction amounts to US$110 million. (Singapore)



DIVESTMENTS


Goldman to Retain Partial Interest in Sanyo

The Goldman Sachs Group Inc ('Goldman Sachs') is to dispose of only a portion of its holdings in Sanyo Electric Co. Ltd. ('Sanyo') to Panasonic Corporation. The sale is estimated to rake in ¥127 billion (US$1.4 billion). Goldman Sachs currently holds a 30% equity interest in Sanyo.
      In 2006, Goldman Sachs teamed up with two domestic institutions and committed an aggregate US$2.6 billion to Sanyo. (Japan)




Investors Sell a Majority of Kracie

Advantage Partners LLP, MKS Partners and Unison Capital Inc. have sold a combined 60% holding in Kracie Holdings Ltd. to Hoyu Co., a Nagoya-based hair-dye maker. The remaining 40% stake will be sold to the buying party over a period of three years. No transaction details were disclosed.
      Kracie Holdings holds the non-cosmetics products of the defunct Kanebo. It came under the control of the financial Investors in 2006. (Japan)




Shanshui Investors to Cement Another Share Sale

Morgan Stanley Private Equity Asia and CDH Investments have reportedly further reduced their holdings in China Shanshui Cement Group Ltd ('Shanshui') and would rake in HK$1.32 billion (US$170.3 million) in their latest divestment process in Shanshui.
      Between 2005 and 2007, both investors have injected over US$150 million into Shanshui. (People's Republic of China)


PEOPLE ON THE MOVE


Mr Hiroaki Saito

Mr Hiroaki Saito, currently a fund manager at Mitsubishi UFJ Capital Co., Ltd., will be transferred to the institution's principal investment division. (Japan)




Mr Hoang Nguyen

Mr Hoang Nguyen has been appointed as Chief Investment Officer of Saigon Asset Management. (Vietnam)


Stay tuned for APER's forthcoming issue for full coverage of the above!

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