PE Firms Nose out Preys at China-ASEAN Expo

2009-10-26

Many people may have the dream of “I can earn a lot if my project is funded”. Meanwhile, those institutions with idle funds also wish to find a good investment channel. Private equity (PE) institutions are the bridge to connect the above two and have nosed out their preys —fine companies and projects, at just-concluded China-ASEAN Expo.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

A private enterprise acquired 80 million yuan of investmentlEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Jiuding Capital’s Executive President Zhongyi ZHAO was invited to attend China-ASEAN Expo. Before the expo, he came to Guangxi and got the business directory of 200 participants.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

 “All of us want to invest in those well-performed enterprises, so I have asked my Research Group to pick up those enterprises from the 200 companies as soon as possible,” Zhongyi ZHAO said. Many PE firms don’t like to invest in companies in western areas, but Jiuding Capital thought good companies in western areas work steadily and their employees are capable although the number is few.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

In September 2008, Jiuding Capital contacted with Guangxi Tianyuan, China’s biggest paddy pesticide manufacturer with a registered capital of 100 million yuan. In December, it decided to invest 80 million yuan in this company. At that time, many PE companies stopped working due to financial crisis. When Jiuding Capital investigated Tianyuan, several investors negotiated with the company, too. Because of the similar development concept, they reached the agreement finally.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

PE provides both money and serviceslEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

When judging whether an enterprise is worth to be invested or not, each detail should be measured. Zhongyi ZHAO told the reporter that they had set up more than 600 indexes to measure a company, some of which are one-vote veto and some are based on scoring. The high-score enterprises will be invested.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

However, VC and PE are relatively rare in Guangxi and even some people do not know what is PE. At the expo, Zhongyi ZHAO simply explained that PE refers to investing in an enterprise in the form of equity before it goes on the market, and then becoming its shareholder. From the perspective of financing and finance, bank loading is indirect financing but PE is direct financing. In addition, PE can bring a series of value-added serviced besides capital.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Taking Guangxi Tianyuan for example, Jiuding Capital helped Tianyuan establish relationships with several upstream medicine suppliers, gave them suggestions to perfect its product structure after investing lots of pesticide companies and helped Tianyuan prepare listed materials and contacted professional institutions.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Guangxi enterprises are to greet springlEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Are there local PE firms in Guangxi? At the expo, almost all Guangxi’s investors, including Guangxi Investment Group Co., Ltd., Guangxi Beibu Gulf Port Group, Guangxi Communications Investment Group Co., Ltd. and Guangxi Non-Ferrous Metals Group Co., Ltd., were exhibited at Hall 1. However, those companies focusing on basic industries are not PE firms, which seldom invest in those high-growth private enterprises.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Manager Su of Strategic Invest Department of Guangxi Investment Group Co., Ltd. said that the company, shouldering the responsibility of gaining wealth and serving Guangxi, has concentrated in large-sized infrastructure projects like power generation, aluminum production and processing, and fertilizer. As to VC, the company has funded to set up Guangxi Victor Biological Technology Co., Ltd. (Victor) with Guangxi Academy of Science. Victor’s leading product isomaltitol is a kind of sugar substitute, which is healthier than xylitol, and has been widely used as icing and food additives worldwide. The company has obtained good economic profits.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

As a powerful state-owned enterprise with the biggest assets in Guangxi, Guangxi Investment Group Co., Ltd. plans to fulfill considerably investments each year and expand various fields further. In addition, it has a mission to realize capital gaining. Therefore, the company is exploiting a cooperative mode with PE firms to make best use of their advantages in project evaluation, risk prevention and value-added services.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

As more and more regional institutional investors become diversified and developed globally, lots of cross-regional PE firms have been attracted by the good investment prospect of Beibu Gulf Economic Zone and a great number of good projects are expected to break the capital bottleneck so as to greet their spring.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Many people may have the dream of “I can earn a lot if my project is funded”. Meanwhile, those institutions with idle funds also wish to find a good investment channel. Private equity (PE) institutions are the bridge to connect the above two and have nosed out their preys —fine companies and projects, at just-concluded China-ASEAN Expo.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

A private enterprise acquired 80 million yuan of investmentlEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Jiuding Capital’s Executive President Zhongyi ZHAO was invited to attend China-ASEAN Expo. Before the expo, he came to Guangxi and got the business directory of 200 participants.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

 “All of us want to invest in those well-performed enterprises, so I have asked my Research Group to pick up those enterprises from the 200 companies as soon as possible,” Zhongyi ZHAO said. Many PE firms don’t like to invest in companies in western areas, but Jiuding Capital thought good companies in western areas work steadily and their employees are capable although the number is few.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

In September 2008, Jiuding Capital contacted with Guangxi Tianyuan, China’s biggest paddy pesticide manufacturer with a registered capital of 100 million yuan. In December, it decided to invest 80 million yuan in this company. At that time, many PE companies stopped working due to financial crisis. When Jiuding Capital investigated Tianyuan, several investors negotiated with the company, too. Because of the similar development concept, they reached the agreement finally.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

PE provides both money and serviceslEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

When judging whether an enterprise is worth to be invested or not, each detail should be measured. Zhongyi ZHAO told the reporter that they had set up more than 600 indexes to measure a company, some of which are one-vote veto and some are based on scoring. The high-score enterprises will be invested.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

However, VC and PE are relatively rare in Guangxi and even some people do not know what is PE. At the expo, Zhongyi ZHAO simply explained that PE refers to investing in an enterprise in the form of equity before it goes on the market, and then becoming its shareholder. From the perspective of financing and finance, bank loading is indirect financing but PE is direct financing. In addition, PE can bring a series of value-added serviced besides capital.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Taking Guangxi Tianyuan for example, Jiuding Capital helped Tianyuan establish relationships with several upstream medicine suppliers, gave them suggestions to perfect its product structure after investing lots of pesticide companies and helped Tianyuan prepare listed materials and contacted professional institutions.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Guangxi enterprises are to greet springlEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Are there local PE firms in Guangxi? At the expo, almost all Guangxi’s investors, including Guangxi Investment Group Co., Ltd., Guangxi Beibu Gulf Port Group, Guangxi Communications Investment Group Co., Ltd. and Guangxi Non-Ferrous Metals Group Co., Ltd., were exhibited at Hall 1. However, those companies focusing on basic industries are not PE firms, which seldom invest in those high-growth private enterprises.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

Manager Su of Strategic Invest Department of Guangxi Investment Group Co., Ltd. said that the company, shouldering the responsibility of gaining wealth and serving Guangxi, has concentrated in large-sized infrastructure projects like power generation, aluminum production and processing, and fertilizer. As to VC, the company has funded to set up Guangxi Victor Biological Technology Co., Ltd. (Victor) with Guangxi Academy of Science. Victor’s leading product isomaltitol is a kind of sugar substitute, which is healthier than xylitol, and has been widely used as icing and food additives worldwide. The company has obtained good economic profits.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

As a powerful state-owned enterprise with the biggest assets in Guangxi, Guangxi Investment Group Co., Ltd. plans to fulfill considerably investments each year and expand various fields further. In addition, it has a mission to realize capital gaining. Therefore, the company is exploiting a cooperative mode with PE firms to make best use of their advantages in project evaluation, risk prevention and value-added services.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

As more and more regional institutional investors become diversified and developed globally, lots of cross-regional PE firms have been attracted by the good investment prospect of Beibu Gulf Economic Zone and a great number of good projects are expected to break the capital bottleneck so as to greet their spring.lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司


lEm九鼎投资(600053.SH)_上交所私募股权投资领域上市公司

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