ING Real Estate acquires Baring Capital Partners, the China business of Baring Private Equity Partners. The acquisition was part of ING Real Estate’s strategy to increase its exposure in the China market.
Baring Capital Partners manages the China Property Development Fund and a listed fund in Hong Kong focusing on the Beijing property market. The China Property Development Fund currently invested in two property development projects in Beijing. The two projects are located in the north east section of Beijing’s Chaoyang District with total gross floor area in excess of 4 million square feet. The acquisition is subject to the approval of the Securities and Futures Commission in Hong Kong.
The offices of Baring Capital Partners in Hong Kong and Beijing will be combined with the existing offices of ING Real Estate Investment Management. The combined team in China will have over 20 staff with extensive fund management and development capability and experience.
The acquisition of BCP will substantially increase ING Real Estate’s fund management portfolio in China and strengthen the property development capability of the ING Real Estate team. ING Real Estate believes in management control in property projects in China. BCP’s long term relationship with the Beijing Municipal government and Beijing Capital Group is an important strategic alliance for the Company which helps reduce development risk and add local knowledge. BCP’s listed fund management experience is also expected to help ING Real Estate tap the developing REIT markets across Asia.
Source: ING Real Estate