Hsiang-Ching Tseng
China Modern Dairy listed Friday on the Hong Kong Stock Exchange, allowing KKR to sell a reported 228m shares.
The Chinese private equity firm last year invested $30.5m in the real estate service provider for a 19% stake.
The pan-regional investor had been lined up to back the take-private of the Chinese electric motors maker, along with CEO Tianfu Yang. It will now only fund up to 10% of the management buyout.
The bank has settled its dispute with Varun Bery, who had taken it to court in April for failing to honour an agreement allowing him to spin out the Asia private equity team.
The emerging markets specialist has already received an RMB500m commitment from the Shanghai government.
Private equity firms and sovereign wealth funds are expected to play a greater role in company financing over the next year, at the expense of more traditional lenders like banks.
The Chinese private equity firm has raised its target to $1.05bn, which it expects to hit by the end of May 2011.
Global private equity firm The Carlyle Group has finally got the go ahead to sell Taiwanese cable television operator Kbro to the country’s Tsai family in a deal worth around $1.19bn.
Chinese private equity needs more diversity, the sovereign wealth fund's chairman said at a conference in Beijing.
The China-focused mid-market private equity firm secured the commitment to its second RMB-denominated fund, which is reportedly targeting RMB10bn.