Hony Capital, an investment vehicle of conglomerate Legend Holdings, hopes to raise a $2bn fund targeting companies in China, Hong Kong, Macau and Taiwan, China Money Network reported today.
Hony Capital Fund VIII is expected to have a $1bn pool denominated in US dollars, with the remaining $1bn in renminbi.
Legend launched Hony Capital in 2003, following the creation of the conglomerate’s other investment vehicle Legend Capital in 2001.
The division currently has $4.2bn under management, according to its website, and operates seven funds, of which five are denominated in US dollars and two in renminbi.
The funds are backed by limited partners including Legend, insurance provider China Life Insurance, investment bank Goldman Sachs, Singapore’s sovereign wealth fund Temasek, China’s National Social Security Fund, Stanford University Fund and Canada Pension Plan Investment Board.
Hony Capital has so far invested in approximately 80 companies. In July 2014, the unit acquired UK-based restaurant chain Pizza Express for $1.5bn.