China Science and Merchants (CSM) has today launched a global capital raise for its first international US Dollar denominated fund which will make private equity investments in China and has appointed EME Capital as global co-ordinator for the fundraising. CSM is initially targeting USD1 billion for this fund.
Professor Shan XianShuang, Chairman and Founder of CSM, says: “This fund will allow, for the first time, international investors to invest alongside CSM’s RMB denominated funds on a pari passu basis. CSM’s respected management team and Chinese identity will mean that high quality Chinese private equity investment opportunities will now be available to foreign investors. I am confident that our network and reach will continue to uncover hidden value across China.”
The Honourable Robert Hanson, son of the late industrialist Lord Hanson and a General Partner in CSM’s International Fund said, “I have known the principals of CSM for the past fifteen years and have worked specifically with CSM since 2003; over the last decade they have been right at the forefront of Chinese private equity. The great advantage CSM has in the Chinese market is their strong deal origination and the collaborative approach they adopt to managing portfolio companies which involves them working closely with both management and key stakeholders. This is far removed from Western conventions of absolute control engineered through buy-outs which do not always work well in China.”
EME Capital is the global co-ordinator for the fundraising and Ahmad Salam, EME Capital’s Managing Partner, said, “Private equity in China is still in its early stages but the opportunities there today are hugely significant and exciting. CSM has the history and standing to unlock these opportunities for foreign investors in ways that only a leading domestic firm can and it is a privilege for EME Capital to introduce CSM to international institutions.”
