Group News

 “The Opening Ceremony of Beijing Capital Fund Management Company and the Signing Ceremony with OEP” was held successfully in the afternoon on June 22^nd, 2011 at Beijing InterContinental Hotel on Financial Street. Officials from Beijing Development and Reform Commission, Beijing State-Owned Assets Supervision Administration, Beijing Municipal Bureau of Financial Work, Beijing Administration of Foreign Exchange, Zhongguancun Administration, China Venture Capital and Private Equity Association, Venture Investment Professional Committee of CVC, and Beijing Capital Group are invited for this event. The ceremony was hosted by Mr. Li Songping, the Vice General Manager of Beijing Capital Group, and Mr. Liu Xiaoguang, the CEO of Beijing Capital Group made the welcome speech to the guests.

 

The Fund Management Company plans to manage the capital of USD 150 million at the first phase after the establishment. This fund is the first PE fund of Beijing Capital under the circumstance of China’s new PE investment policy. The fund is led by Beijing Capital Group and managed by famous international institutions, with local advantages, and international resources, having attracted investors from USA, Middle East, Latin America, Hong Kong and Mainland China. The fund is based on the advantage of special high-tech industries of Beijing, aiming to invest to the newly emerging strategic industries supported by Chinese government, enjoying the global capital and management resources of famous international financial and investment organizations, such as OEP and Lexington, and the market and enterprise value discovery capability of Beijing Capital Group; and with the strong alliance, the fund will continuously promote the venture investment level in the field of high-tech industry of Beijing, and contribute to the development of outstanding high tech industries and enterprise which are with competition capabilities, and realize the enterprise value upgrade through the investment and management.  

 

Beijing Capital Fund Management Company has signed with OEP an agreement for USD 200 million at the signing ceremony. As an international leader in the field of value creating investment, OEP will invest into the enterprises invested by Beijing Capital Fund, and will work with the fund management team to run the capital operation of Sino-foreign M&A projects. Thus enables OEP to utilize the resources and domestic networks of Beijing Capital, and also on the other side, Beijing Capital could benefit from the international experiences and resources of OEP.

 

As the financial center of China, Beijing enjoys the leading position in terms of the numbers and the quality of financial institutions. As the new power for the future development of financial industry and the catalyst for the China economy reform, PE fund will be an independent industry apart from the banking, insurance and securities industries. This newly emerged financial industry has received attentions from the local governments. The policy for QFLP pilot by Beijing government allows Beijing to win huge competition advantages for the core position on equity investment fund in China.

 

Beijing Capital Group is a large size state-owned enterprise of Beijing Municipal Government, with rich experiences in capital operation, having cooperated with international top institutions in many industries. By taking the guideline to innovate, the cooperation with OEP and Lexington etc. will build up a solid basis for the venture capital development of Beijing Capital Group, and also as a new mode to support the development of the high-tech enterprises of Beijing.

Beijing Capital Group hopes that this cooperation could become the PE fund pilot project to promote the development level of PE investment of Beijing, and by taking the opportunity to amplify the financial service content and upgrade service level for the high tech enterprises. Last but not least we wish to make our own contribution to build Beijing as the global financial center!