Beijing Capital Equity

Beijing Capital Group

Beijing Capital Equity

Beijing Capital Group is a large scale state-owned enterprise under the State Owned Assets Supervision and Administrative Commission (SASAC) of the Beijing Municipal Government. Since its 1995 asset reorganization, Beijing Capital Group has established three core businesses: (i) financial services and investments, particularly focusing on investment banking, private equity, loan guarantee, and mergers and acquisitions, (ii) urban infrastructure development, particularly with respect to water treatment, environmental infrastructure and highway construction, and (iii) real estate, particularly with respect to urban residential development and construction. Beijing Capital Group is an influential conglomerate with outstanding brand recognition throughout China. Among its various subsidiaries and business groups, Beijing Capital Group has six publicly listed subsidiaries on the Hong Kong, Shanghai and Shenzhen stock exchanges, in addition to the various portfolio companies of Beijing Capital Private Equity that have publicly listed.

With respect to its financial services business, Beijing Capital Group has the strategy of taking investment banking as a priority business and industry as the promotion of that business. In 1998, it acquired a smaller investment bank and transformed it into a market leader, First Capital Securities Co., Ltd., particularly with respect to IPOs and mergers and acquisitions of small to medium sized enterprises (SME) in China. Then it established Beijing Capital Securities Brokerage for a second investment banking arm. In 2002, it engaged in the business of life insurance and established a joint venture with one of the world's largest financial group ING, which was ranked sixth among the 24 joint-venture insurance companies in China in 2008. In addition, it acquired listed companies such as Guangxi Huwei, Ningbo Zhongbai, and CHIFFO in 1996, and develop a strong loan guarantee business, particularly in the small to medium sized enterprise (SME) segment. Beijing Capital Co., Ltd. was listed on the Shanghai Stock Exchange in 2001 and Beijing Capital Land Ltd. was listed on the Hong Kong Stock Exchange in 2003. Beijing Capital Group also started its private equity fund management and mergers and acquisition business in 1998, which have had particularly strong growth over the past several years. All these major moves helped to lay the foundation for the Beijing Capital Group's growth in the financial sector.

Beijing Capital Group also enjoys a leading market position and strong brand awareness in China's water services and real estate sectors. Beijing Capital Co., Ltd. is the largest water service company in China, and has established wholly-owned or joint-venture water plants in over 20 cities in such provinces as Anhui, Shandong, Jiangsu and Zhejiang. . Real estate, another part of the Beijing Capital Group's core business, contributes greatly to Beijing Capital Group's operating revenue and total profit. Beijing Capital Land Ltd. is a well-known developer of upscale and low-density residential buildings, honored as one of the Top 10 Brands in China's real estate industry. It worked out a clearly-defined strategy which focuses on China's three most promising economic circles, i.e., Yangtze River Delta, Bohai Rim, and central and southwest parts of China. Moreover, it bought up to 10 million square meters of quality land reserves in the top 10 cities in the economic circles within a short period of time. As for product strategy, it has committed itself to building three major product lines, i.e., international upscale communities, diversified complexes, and low-density cultural communities. During a decade and a half of its rapid development, Beijing Capital Land Ltd., under Beijing Capital Group, has introduced several strategic investors from other countries to China's real estate development market, collaborating with such major groups as Cheung Kong (Holdings) Limited and GIC. In addition, Beijing Capital Group has invested in the construction of urban mass transit systems in Beijing and around China, including Beijing-Shijiazhuang Expressway, Beijing-Tianjin Expressway, Beijing-Tongzhou Freeway, Lines 4, 5 and 13 of the Beijing Subway, as well as the Tianjin section of the Beijing-Tianjin Expressway. Beijing Capital Group was also actively engaged in the projects concerning Beijing 2008 Olympic Games, contributing considerably to the delivery of "New Beijing, Great Olympics."

Beijing Capital Group is planning its future according to the strategic arrangements of Beijing SASAC. It has clearly defined its strategic position in increasing the competitiveness of its core businesses in financial services, real estate and infrastructure through international collaboration and operations, management innovation and structural adjustment. It is working with international strategic investors for more co-operation in China and abroad. It is speeding up efforts to establish modern corporate governance, attract talent and provide incentives at international standards.

Beijing Capital Group has 32 offices around China, and 6,300 employees and has strong relationships with other leading state-owned enterprises in China. Beijing Capital Group is an anchor investor and minority member of Beijing Capital Private Equity. Beijing Capital Private Equity utilizes Beijing Capital Group's national infrastructure, networks, brand name and government relationships to produce superior returns for its investors, both Domestic and International.