Shanghai International Group Raises $1.1B Fund

Shanghai International Group, which is owned by the city’s government, has raised 7 billion yuan ($1.1 billion) in a dual-currency fund that invests mainly in emerging industries, Reuters reported, citing the official Shanghai Securities News. Investors include state-owned enterprises, listed companies, private companies and U.S. and European institutions, Reuters wrote.

(Reuters) – Shanghai International Group (SIG), owned by the city’s government, has raised 7 billion yuan ($1.1 billion) in a dual-currency fund that invests mainly in emerging industries, the official Shanghai Securities News reported on Thursday.

The fund raised 5 billion yuan ($790.99 million) and $300 million from investors that include state-owned enterprises, listed companies, private companies and U.S. and European institutions, the newspaper said.

The fund would mainly invest in seven strategic industries, including environment protection, advanced machinery, bio-technology, new energy, new materials, green energy cars and next generation information technology, the report said.

China has been encouraging the development of private equity in a bid to channel more resources into the private sector to aid economic restructuring and growth. ($1 = 6.3212 Chinese yuan) (Reporting by Samuel Shen and Kazunori Takada; Editing by Chris Lewis)