Investindustrial has teamed with sovereign wealth fund China Investment Corp and Italian bank UniCredit to launch a new fund aiming to help Italian businesses expand to China.
CIICF has €600m of initial capital underwritten by the three partners, and will seek to raise additional capital as and when required, a statement from the trio said.
Investindustrial is the sole investment manager of the new fund, and will make deals alongside Investindustrial VII, predominantly in leading Italian companies with Chinese development opportunity.
UniCredit will both invest in and promote the opportunity for Italian companies.
Investindustrial managing principal Andrea Bonomi said, “Italy offers great investment opportunities with solid foundations and clear growth paths globally.
“This innovative programme is dedicated to the financial and operational needs of these Italian companies, especially mid-market ones.
“Italian mid-market companies deserve to be both bigger and more competitive on a global scale.
“Thanks to the partnership with CIC and UniCredit, Investindustrial will double the size of its China-focused team, based in China and Europe, that will sit alongside our 130 other colleagues who support mid-market companies in their growth plans.”
CIC chairman Peng Chun added, “As the sovereign wealth fund of China, CIC looks forward to working closely with Investindustrial and UniCredit to tap into the advantages of Italian enterprises and act as a bridge to the Chinese market.
“This will not only boost Italy’s economic development, but also benefit China’s consumers and corporations – a win-win for both nations. In addition, we also hope to leverage the fund as an open platform to enhance bilateral financial, economic and trade cooperation.”
Recent deal from Investindustrial include teaming with Black Diamond Capital Management for a $425m carve-out of chemical company Hexion’s phenolic resins unit.
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