Carlyle's 1 billion stake in North Farm traders denied PE soup Bank dreams are hard to come round

"Investor" reporter Lizhen Beijing agricultural firm to increase the share of the stock to hook up the listing related to the infinite reverie, the old shareholders, new shareholders enthusiastic upsurge of participation. "Two-tier market has a conductive effect on the primary market, the current listed banks in the overall low P/E, conduction to the first-tier market, it appears that unlisted valuation more attractive."　　"Fortune partner, vice president and general manager of Beijing company, Yanxiaoping, said in an interview with the investor newspaper. In such a point of increasing capital expansion, Beijing agricultural firms in the approval of the rapid progress. December 28, the Beijing Banking Regulatory Bureau issued a "on the Beijing Rural Commercial Bank Co., Ltd. to increase the shares of the relevant matters of the official reply," agreed to Beijing agricultural firm to increase capital expansion of the stock program, as of now the plan is nearing completion. "We will soon have a special conference for this purpose.　　The bank related Personage tells a reporter.　　At this time someone is very lonely. The US private-equity firm, the renminbi fund managed by Carlyle, has been very enthusiastic and has received support from the Beijing municipal government, but has not yet received clear regulatory clearance. "PE participating banks need to be seriously considered."　　Guo, director of China Banking Research Center at the Central University of Finance and Economics, approved the practice of the regulator. Is it regrettable that Carlyle has failed to share the stakes?　　Some market people think that still need time to test, after all, Beijing farmers need to improve the correction of the place too much, the real listing may be far away. Whether the stakes have been close to half a month, Carlyle has a successful investment case to become a classic. With a 410 million dollar stake, the 5-year period, Carlyle is withdrawing from the Chinese Tai Bao, with a continuous reduction of 631 million shares of China's Tai Bao H-Shares in the two week of December 30, 2010 and January 10, 2011, and is still holding 2.67 billion shares.　　Analysts say the total value of the stake in the company is about $5 billion trillion, which means Carlyle invested in the company for 5 years, earning more than 10 times times the return.　　Meanwhile, Carlyle has encountered setbacks in investing in Beijing's agricultural firms. At present, Beijing agricultural firms are not qualified, belong to the problem bank.　　First annual report of 2008 has about 3 billion of the contingent loss, and then exposure of the loan case of 708 million yuan, two consecutive annual report by the audit organization issued a "reservation", non-performing loans to reach 9.13 billion, 7.5% of the adverse rate than the industry average level of about 6%.　　In the past 2010 years, Beijing agricultural firm plans to increase capital and expand its shares, hoping that some of the funds will be used to buy non-performing assets, to resolve the historical burden, but also to lay the foundation for future listing work. In almost the same period, the Carlyle Renminbi fund to raise the first 2.4 billion yuan in place, you can invest, the biggest aspect of which is Beijing state-owned management Center for the largest LP (fund investors), in addition to the LP and Beijing Equity Investment Development Fund and other large state-owned enterprises, private enterprises and individuals.　　This also explains to some extent why Carlyle's stake in the Beijing agribusiness program will be supported by the Beijing government. Only this support is not enough, the key to access to the prisonManagement approval. At first, Carlyle planned to invest 1 billion yuan, with a stake of not more than 5% per cent, but after Beijing's agricultural firm submitted its first round of capital-raising and expansion plans, regulators were wary of handing over Carlyle's stake. It was previously reported that the CBRC did not agree. "This matter you ask Beijing office of the CBRC." The CBRC did not respond positively to the questions raised by reporters.　　According to the Beijing office of the Foreign public telephone, the reporter repeatedly call no fruit, and its deputy director of the landline is no answer. Beijing agricultural firm is also very secretive about this, "in the expansion phase of capital increase do not want to have too much media attention, in the end we will have information release."　　The bank's office staff said.　　According to the source, in order to quickly implement the expansion of the shares, the agricultural firm to submit the plan, this time to exclude Carlyle, the plan was soon approved, the Carlyle share plan with the formal abortion.　　In fact, the failure of Carlyle's investment bank has not been the first time. The 2005 plan was restructured, with many consortia, including Carlyle and Citigroup, participating in the bid, but withdrew voluntarily and did not exit the statement.　　According to the relevant people at that time, the main reason is dissatisfaction with the tendering process. Carlyle was again hit by a head-on attack in 2007. At the end of 2006, Zhongqing Commercial Bank (now Chongqing Bank), the first major shareholder Chongqing Yu Fu Asset Management company plans to transfer 24.99% of the equity, Carlyle plans to join hands with Daxin Bank, according to the agreement, Daxin will hold a 17% stake, Carlyle holds 7.99%.　　Eventually, the grand realization of the expected ownership of the stake and Carlyle was excluded.　　According to an annual report published by Chongqing Commercial Bank on its website, the proposal by Carlyle Group to buy some of the company's stake in 43 million dollars has not been approved by regulators because it "does not meet the requirements of current laws and regulations". "There should also be a failure to reach the threshold of net assets." "Bohai Securities Investment Banking Department Vice president Wang Pak said. The regulations enacted in 2003 stipulate that the capital of foreign investors investing in Chinese banks shall not be less than 10 billion dollars.　　Carlyle Asia Fund, second, which seeks to acquire stakes in Chongqing's commercial banks, has a total capital of $1.8 billion after completing its fundraising in 2006: It is clearly far from the capital Requirement. The tangle of PE-Carlyle investment in the bank has repeatedly failed to fight. PE investment bank Since so difficult, why so persistent?　　Zhou Hongxi, a director of corporate communications at Carlyle's China district, said he could not answer. Wang Pak that for large-scale equity funds, equity banks are necessary, "because the basic guarantee, the current market is adequate, can not invest a lot of projects, choose to invest in unlisted banks is a choice."　　"Of course, this is from an investor's point of view.　　From the perspective of banks and regulators, accepting PE is something that needs careful consideration. "Not to say that money can be a bank of investors, banks want to introduce strategic investors can bring the value of resources, such as large state-owned commercial banks to introduce strategic investors are the background of overseas banks, international investment banks and otherThe support provided by the domestic PE/VC is very limited by the complementary and supporting agencies.　　"Yanxiaoping said.　　Guo said that strategic investors should still have a strategic relationship with the banks, hoping to help the bank's public governance, PE is too speculative, purely financial investors, so the regulatory level is not particularly recognized. There are also cases of equity funds to invest in banks, such as the Bohai Industrial Fund shares in Chengdu Commercial Bank, Citic Mianyang Industrial fund investment in Dalian Commercial Bank.　　Yanxiaoping that industry funds generally have a background, the LP is basically government state or state-owned large enterprises, which will form a resource to supplement and support.　　"Industrial funds can be considered," Guo said, not excluding industrial funds, but he stressed that banks should look for long-term strategic investors. "In fact, Carlyle does not have to too regret not to buy a stake in Beijing agricultural firms.　　"A PE person said he believes that the domestic unlisted banks are small and medium-sized banks, most of the development of ﹑ profit model and so is not clear, what the future will be uncertain, and now there are many banks listed, the next wave of the bank listing is difficult to determine. Only in the case of Beijing agricultural firm, its listed on the road at least two major obstacles: the first is difficult to reduce the non-performing loan rate in the short term, followed by the current bank carrying nearly 10,000 acres in accordance with the current law can not transfer the rural collective land, most of the land for the year of the township enterprises are mortgaged to the Beijing County Rural Credit cooperatives It is based on this, the statement of Auditors that Beijing agricultural firm assets, two consecutive years of its annual report issued reservations. The 2009 Annual report of the audit report said that the end of the balance of debt assets at the end of about 2.047 billion yuan has not been processed.