Agreement on Establishing Joint Russian-Chinese Investment Fund Signed
The document was signed by Anatoly Chubais, Chairman of the Executive Board of RUSNANO, and Fang Tao, Chairman of Zhongrong International Trust.
At the first stage, the RUSNANO Zhongrong United Investment Fund will have $500 mln of capital under management. The Partners of the Fund, RUSNANO Group and Zhongrong Trust International Co., LTD. (Zhongrong), will provide their equity investments in equal portions and establish a joint management company.
The Fund’s investment focus will be concentrated on projects in the growth stage aimed at application, development, and transfer of high technologies (related to electric power industry (including RES), oil and gas industry, as well as microelectronics and biotechnologies) to Russia. It is envisaged that investments into the projects and project companies will be effected on the territory of Russia (not less than 70 %), China, and other countries.
“Zhongrong is one of the largest financial institutes in Asia-Pacific region that specializes in private equity and financing of large-scale innovative projects,” emphasized Anatoly Chubais. “Our partnership is aimed at creation of the new competitive products with perspective of their launch both in Russia, China and worldwide”.
RUSNANO Joint-Stock Company was founded in March 2011 through reorganization of state corporation Russian Corporation of Nanotechnologies. JSC RUSNANO contributes to implementation of the state policy on the development of the nanotechnology industry by investing directly and through investment funds of nanotechnology in financially effective high-technology projects providing the development of new production facilities in the Russian Federation. Its primary investment focus is in electronics, optoelectronics and telecommunications, healthcare and biotechnology, metallurgy and metalwork, energy, mechanical engineering and instrument making, construction and industrial materials, chemicals and petrochemicals. 100 percent of RUSNANO’s shares are state owned. Thanks to RUSNANO’s investments, there are currently 105 factories and R&D Centers opened in 37 regions in Russia. JSC RUSNANO has profit for the last 5 years.
Management of assets of RUSNANO JSC is carried out by Limited Liability Company established in December 2013, RUSNANO Management Company. Anatoly Chubais is the Chairman of its Executive Board.
Work to establish nanotechnology infrastructure and carry out educational programs is fulfilled by RUSNANO’s Fund for Infrastructure and Educational Programs, which was also established during the reorganization of the Russian Corporation of Nanotechnologies.
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Zhongrong Trust International Co., Ltd. (Zhongrong) is the 2nd largest Chinese trust company that provides investment and banking services, services related to capital trust management at foreign exchange and stock markets, as well as services in private equity area and real estate investment. The total amount of funds under the management of Zhongrong is more than $180 bln. The Company has representative offices in 20 largest cities of China, including: Beijing, Shanghai, Shenzhen, and Hong Kong. By the end of 2014, the Company’s client base consisted of more than 30,000 private and 1,150 institutional investors. The Company’s main areas of business are private equity and venture capital investments, financing, management of independent clients’ assets and resources.