MBK to Exit Luye Pharma

Korean private equity fund MBK Partners has agreed to sell its majority stake in Singapore listed Luye Pharma Group to three Chinese private equity firms, Reuters reported, citing the Wall Street Journal. Terms of the deal were not released. The buyers are CDH Capital, Citic Private Equity and New Horizon Capital, the Journal reported.

(Reuters) – Korean private equity fund MBK Partners has agreed to sell its majority stake in Singapore listed Luye Pharma Group to three Chinese private equity firms for an undisclosed sum, the Wall Street Journal reported on Friday, citing a person familiar with the deal.

With IPO markets shut and private equity firms needing to exit investments and show returns as they prepare to raise new funds, secondary transactions of this kind are increasing in Asia.

MBK has agreed to sell the stake to China private equity funds CDH Capital, Citic Private Equity and New Horizon Capital, the Journal reported.

The report estimated the size of the MBK stake at a minimum of $140 million.

(Reporting by Stephen Aldred; Editing by Jonathan Hopfner)