MACQUARIE EVERBRIGHT GREATER CHINA INFRASTRUCTURE FUND REACHES US$729 MILLION IN AVAILABLE FUNDS
Business Related 14 Jun 2011
Media Release
Hong Kong, 14 June 2011 - Macquarie Group Limited (“Macquarie”; ASX:MQG) and China Everbright Limited (“CEL”; HKSE:00165) today announced the first close of the Macquarie Everbright Greater China Infrastructure Fund (“MEGCIF”), which will invest in core infrastructure projects in the Greater China Region.
MEGCIF has achieved total initial commitments of US$479 million from leading international institutional investors from Europe, North America and Asia including PGGM, the second largest pension asset manager and pension administrator in the Netherlands, and the Korean Teacher's Credit Union, Korea's second largest pension plan. Macquarie and CEL have also each made a US$50m commitment (US$100m in total) as sponsors of the fund. In addition, MEGCIF will have access to an additional US$250 million for coinvestments.
MEGCIF will target Greater China core infrastructure opportunities, primarily in the toll road, airport, renewable energy, wastewater, port and rail sectors. These sectors in China are classified as “foreign investment encouraged” under the guidelines published by the Ministry of Commerce and the National Development and Reform Commission, the key national regulators.
Macquarie Group Limited is not an authorised deposit-taking institution for the purposes of the Banking Act 1959 (Cwth), and its obligations do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of Macquarie Group Limited. MEGCIF will continue to raise capital throughout 2011 and 2012 from international and domestic investors, with the final closing expected to occur in 2012.
CEL said，“CEL and Macquarie bring a strong combination of local and international infrastructure asset and funds management expertise to the joint venture，MEGCIF is uniquely placed to access attractive investment opportunities, leveraging CEL’s in-depth experience of China and Macquarie’s global leadership in the infrastructure sector.”
Mr Ben Way, Managing Director of Macquarie Infrastructure and Real Assets said: “We are very pleased with the strong investor support for MEGCIF. Raising nearly half a billion dollars for a first close we believe is a strong endorsement of our strategy, team and the distinctive opportunities that exist for infrastructure investors in China”.
“Importantly, we have identified a strong and growing pipeline of attractive investment opportunities for the fund, with potential investments in a variety of sectors,such as renewable energy and transport, currently under detailed review”, added Mr Way.
Macquarie is the largest infrastructure fund manager globally, with over 30 funds managing 97 infrastructure assets across 23 countries as of 31 March, 2011. With US$92 billion of infrastructure assets under management globally, including China, India, Mexico, Africa and Russia, MEGCIF continues Macquarie's development of emerging market infrastructure funds.
Currently, CEL manages 11 funds, reaching the fair value of assets to approximately HK$15 billion. Built upon the solid business foundation, the investment teams of CEL will further explore lucrative and potential projects, aiming to expand its AUM size and maximise shareholder value.
About Macquarie Group
Macquarie Group Limited (“Macquarie”; ASX:MQG) is a global provider of banking, financial, advisory, investment and funds management services.
Macquarie’s main business focus is making returns by providing a diversified range of services to clients. Macquarie acts on behalf of institutional, corporate and retail clients. Founded in 1969, Macquarie employs more than 15,500 people in approximately 70 office locations in 28 countries. At 31 March 2011, Macquarie had assets under management of A$310 billion.
About China Everbright Limited
China Everbright Limited (“CEL”; HKSE:00165), with China Everbright Group as its parent company, is a diversified financial services company operating in both Hong Kong and Mainland China.
Established in 1997, CEL employs a ‘3+2 Macro Asset Management” strategy, focusing on direct investment, asset management and asset investment, whilst developing complimentary businesses including investment banking (corporate financing) and brokerage services (wealth management). Over the past ten years CEL has developed solid market bases in various sectors and provided diversified services for its clients. Through the private equity, venture capital, asset management and hedge funds, CEL has developed a global fund management platform, providing investors with opportunities to invest directly in unlisted companies with fast growing potential in Mainland China, and also explore the investment opportunities from overseas for the Mainland Chinese investors.
CEL is the second largest shareholder of the Mainland-based Everbright Securities Co., Ltd. and the third largest shareholder of China Everbright Bank. By leveraging the substantial financial strength of the company itself, and the position and influence of its parent company and affiliated companies in the financial industry in China, CEL has weaved huge social and business networks in Hong Kong and Mainland China.
This press release is prepared by Macquarie Infrastructure and Real Assets a division of the Macquarie Funds Group ("MIRA") and China Everbright Limited (“CEL”). Any information provided in this press release is for general information purposes only and do not in any way constitute an offer, a solicitation of an offer, or any advice or recommendation to conclude any transaction (whether on the indicative terms or otherwise) in any jurisdiction. While MIRA and CEL provide the information in good faith and derived from sources believed to be reliable, MIRA and CEL do not represent or warrant the completeness, reliability, accuracy, timeliness or fitness for any purpose of any of the material and it accepts no responsibility for the accuracy, completeness or timeliness of the information contained in this release. None of the entities referred to in this press release is an authorised deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee
