Archive | November, 2011

China Development Bank to Unveil CDB International

The China Development Bank (CDB) is a government lender owned by the Government of China. They have been a chief source of capital for international project finance deals. The CDB has already expanded into various continents such as Africa (China-Africa Development Fund), South America, and Asia. Originally founded as a policy bank to pursue the […]

China Investment Corporation Interested in Western Infrastructure

Lou Jiwei, an executive at the China Investment Corporation (CIC) wrote in an op ed piece in the Financial Times. He stated the United States and Europe needs more investment in infrastructure, especially the United Kingdom. Many popular politicians on both sides of the pond agree that the West can spur some demand by repairing […]

Middle East Sovereign Funds Invest in Moroccan Tourism Industry

It seems that Middle Eastern based sovereign funds are more keen on investing in hospitality and resort developments compared to their Asian and European peers. This is good news for the Kingdom of Morocco.  Tourism is a key source of diversifiable revenue for the North African Kingdom of Morocco. The tourism industry in Morocco employs […]

France’s FSI Celebrates Its Third Anniversary

By Alexia Wai-Chun Tye Guest Contributor On 17 November 2011, representatives of the French financial, industrial and private equity community were invited to a celebration to mark the 3rd anniversary of the creation of France’s Fonds Stratégique d’Investissement (FSI) at the Elysées presidential palace. President Nicolas Sarkozy congratulated the sovereign wealth fund on its achievements […]

Temasek Holdings Invests in Round in Portola Pharmaceuticals

Singapore’s Temasek Holdings along with other investors invested a round of US$ 89 million in Portola Pharmaceuticals via preferred equity. Portola Pharmaceuticals is a San Francisco biotech company that is working on an anti-clotting drug called betrixaban. This financing is for pushing the development through its Phase III betrixaban trial. Eight months ago Merck dropped […]

Caisse de dépôt et placement du Québec Signs US$850 Million Purchase Agreements with Conocophillips

According to the press release, “the Caisse de dépôt et placement du Québec has announced that it has entered into definitive agreements with ConocoPhillips to purchase its 16.55% interest in Colonial Pipeline Company and Colonial Ventures LLC (“Colonial”) for US$850 million. Colonial Pipeline is the largest refined petroleum products pipeline in the United States. It […]

China Investment Corporation Buys CCB Shares from BofA

The China Investment Corporation (CIC) purchased a portion of Bank of America’s holdings in China Construction Bank (CCB) in a transaction worth around US$ 1.75 billion (2.76 billion shares). Bank of America is attempting to strengthen its capital base and build a stronger balance sheet.

Sarkozy Balances Diplomacy with SWFs and Local Industry

Politically and economically, the European Union has been struggling to keep itself together. In recent months, numerous high-level government officials from several European nations have been courting foreign institutional investors to buy government bonds, allocate money to EFSF investments, and invest in capital increases in large scale European companies. Some government officials have been trying […]

Khazanah Continues to be Bullish on India

Khazanah Nasional, a Malaysian sovereign wealth fund plans to invest directly into India in sectors such as financial services, infrastructure, and energy. India is one of the BRIC economies that had increased its economic growth tremendously this past decade. In addition, India is slowly opening up its economy to foreign investors by loosening some investment […]

Qatari Diar Plans to Invest in Montenegro Resort Development

The Qatari Diar Real Estate Investment Co, which is a sovereign wealth enterprise of the Qatar Investment Authority (QIA), plans to invest €250 million (US$ 337.4) in developing an Adriatic resort in Montenegro. The Qatari sovereign wealth enterprise has been active in redeveloping hospitality properties in Europe. The project is near the city of Tivat […]

Strategic Development: Mubadala and Boeing Together on Aerostructures and Military Sustainment

According to the press release, “Boeing and Mubadala Aerospace, a business unit of the Abu Dhabi-based Mubadala Development Company, a business development and investment vehicle of the Abu Dhabi government, today announced agreements to advance the commercial and military aviation industry in the United Arab Emirates (UAE). These milestones further Abu Dhabi’s plans to become […]

Norway Fund Invests More into Paris Real Estate

Norway’s sovereign wealth fund is making further progress in the Parisian core real estate market. Norges Bank Investment Management and AXA Real Estate Investment Managers have a joint venture that has exchanged contracts to acquire a portfolio of three Paris office properties for €290 million (US$ 399 million). The joint venture is purchasing the properties […]

Mubadala Part of Group to Buy EMI Music Publishing

According to the press release, “An investor group comprised of Sony Corporation of America (“SCA”), in conjunction with the Estate of Michael Jackson; Mubadala Development Company PJSC; Jynwel Capital Limited; the Blackstone Group’s GSO Capital Partners LP; and David Geffen (the “Group”) announced today the execution of a definitive agreement, whereby the Group will acquire […]

Nigeria Sovereign Investment Authority is Hiring

Despite all the political arguments on the validity of the Nigerian sovereign wealth funds, the authority is moving forward in developing operations and selecting candidates for executive positions. The Nigerian Sovereign Investment Authority (NSIA) is hiring. This advertisement appeared off the website of the Federal Ministry of Finance (Nigeria). Interesting to note, “All positions will […]

Why SWFs are Important: The Case of Libya

Libya has gone through a tumultuous revolution. The North African country is in the midst of jumpstarting its banking sector and trying to restart oil operations. Luckily, Libya has a sovereign wealth fund to tap for reconstruction and deep reserves of oil underground to continue to fund it. For some countries, this is why they […]

Probability Grows of Possible Unraveling in Continental Europe

Italy has a much larger economic footprint than Greece, Ireland, and Portugal. The Southern European nation is a crucial member of the European Union. Many governmental investors hold Italian debt in their fixed income portfolios, directly or indirectly. For example, as of September 30, 2011, according to their 3Q report, Norges Bank Investment Management held […]

AIMCo Makes a Move in Chilean Infrastructure

The Alberta Investment Management Corporation (AIMCo) has acquired a 50% interest in Inversiones Grupo Saesa Limitada (Grupo SAESA) from Morgan Stanley Infrastructure Partners. Grupo SAESA is a regulated electricity transmission and distribution company in Chile. It is the second largest electricity distributor in Chile and delivers electricity to 16% of Chile’s population.  The other 50% […]

CAD Fund – Sharing the Risk in Africa

Africa is a resource rich continent with rapidly expanding demographics, but political risks are common in Africa. Launched in 2007, the China-Africa Development Fund (CAD Fund) has fully invested the initial US $1 billion. The CAD Fund can expand up to US$ 5 billion in capital. The initial US$1 billion was derived from the China […]

CalPERS May Boost Hedge Fund Allocation

Hedge funds have been a growing part of governmental investors’ investment portfolios, especially public pension funds. U.S. public pensions are under stress to reach targeted annual returns. Due to a low-yield environment in fixed income and other global economic factors, public pensions have had to take on more risk and increase illiquid investments to target […]

Japan’s Foreign Reserves Nearly Reach $1.3 Trillion

According to Japan’s Ministry of Finance, official reserve assets rose to US$ 1.209 trillion at the end of October. This is an increase of US$ 9.289 billion from September. In addition, Japan is trying to increase private consumption and investment.