Growth capital firm China New Enterprise Investment has fully exited its investment in Jilin Liyuan Aluminum with a 10.3 times gross return.
Gross proceeds from the share sales and dividends amounted to $77.2m, representing approximately 10.3 times multiple on CNEI’s initial investment, and an IRR of 70 per cent.
CNEI invested $7.5m in the aluminum extrusion product manufacturer in July 2008.
The company subsequently completed its IPO in Shenzhen SME Board in November 2010.
CNEI manages growth capital funds in China through a transparent on-shore structure with predominantly foreign capital. CNEI invests in well established Chinese growth companies in a wide range of industries, with a special focus on companies capitalising on the growth of China’s domestic consumption.
In November 2008 UK mid-market firm LDC announced a $30m investment in CNEI’s China New Enterprise Investment Fund II.
The fund is being managed by New Enterprise Management, whose principal partners are Xiaoyang Yu, Johannes Schoeter and Hirosuke Sakai.
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