China Resources Land (01109) intends to establish a total size of 1.2 billion yuan private equity investment fund

2022-06-03 0 By

Zhitong Finance APP news, China Resources Land (01109) announced,The company’s wholly-owned subsidiaries, China Resources Land (Zhuhai), China Resources Trust, Shenzhen Juzhen Investment co., LTD., China Resources Shenzhen International Investment Co., LTD., and Zhuhai Hengqin Runhong Co., LTD., entered into a new cooperation agreement on February 25, 2022 on the establishment of a new fund (a private equity investment fund with an estimated total size of 1.2 billion YUAN raised in the form of limited partnership).The new Fund will use its capital to subscribe to the Fund’s Class A LP shares to finance the continued development of the target projects.The new fund will initially be funded by Rmb100,000 from Zhuhai Hengqin Runhong (as its general partner).LP interests (the new fund is divided into class A and Class B limited partner interests), the initial total capital is expected to be 1.2 billion yuan, of which Shenzhen Juzhen Investment will invest 500 million yuan to subscribe class A LP interests;China Resources Shenzhen Investment Will invest 100 million yuan to subscribe the rights and interests of Class A LP;China Resources Land (Zhuhai) will invest RMB360 million to subscribe for class B LP interests;And China Resources Trust will invest 240 million yuan for class B LP interests.The Limited Partners shall pay the full amount of the capital within the period specified in the payment notice issued by the General Partner of the New Fund in respect of the capital contribution.According to the new partnership agreement, the new fund will use its capital to subscribe to the fund’s Class A LP share, an amount of 1.2 billion yuan.The target project requires additional financing to meet its capital requirements to repay external loan financing due around February 2022 and for its subsequent development.In order to minimize changes to the existing structure of the Fund, the parties have agreed to establish a new fund to finance the sustainable development of the target projects.