Hong Kong asset manager Value Partners and a unit of China’s state-owned Shenzhen Capital have teamed up to launch what they say is the first fund focusing on the Greater Bay Area.
The Greater Bay Area-focused Special Opportunity Fund will primarily invest in quality and undervalued companies in the public and private markets in an area that Beijing wants to turn into a finance and business hub by 2030.
“The fund aims to unlock their growth potential through various business and financial enhancement strategies, such as restructuring, privatisation, and capital structure optimisation,” Value Partners and Shenzhen Capital (International) Asset Management say in a statement on July 3.
The fund is co-managed by the two firms. The Shenzhen-based asset manager will also serve as the fund’s general partner. Its parent company primarily focuses on mergers and reorganisations, and equity investment.
The Greater Bay Area comprises Hong Kong, Macau and nine cities in China’s southern Guangdong province, with a total population of over 70 million holding roughly 3 trillion RMB (US$440 billion) of investable assets.
Value Partners had around $5.9 billion of assets under management as of May 2023.