Oaktree Capital Management LLC, a leading investment management firm, opened
its first mainland office in Beijing yesterday.
Oaktree funds have
invested about $850 million in private equity investments in China.
The
company said it would continue to look for opportunities in China in sectors
such as industrial manufacturing, consumer and retail, petrochemicals and oil
and gas.
Los Angeles-based Oaktree had already made several investment
deals in China before it set up the mainland office, including in the country's
major commercial lender, Bank of China, during its initial public offering in
Hong Kong.
Ralph Parks, former chairman and CEO of JP Morgan
Asia-Pacific, was appointed Chairman of Oaktree Capital (Hong Kong) Limited,
covering the Asia-Pacific region. Parks has over 35 years' experience in
investment banking across Asia, Europe and the United States.
Howard
Marks, chairman and a founder of Oaktree, said: "Our rapid growth in Asia,
particularly in private equity, highlighted the need to create a new role to
help us further develop investment opportunities, and build closer relationships
with governments, regulators and companies across the region.
"Ralph has
experience in these markets that would be hard to match, and we are delighted to
have him join our team."
Marks said the opening of the Beijing office is
an important milestone for the company that will allow it to better implement
its strategy focused on middle-market firms in China.
The company
currently manages over $36 billion in assets in niche investment areas including
private equity and real estate, Asian and emerging market equities and debt
markets.
Private equity firms have been flocking to China in recent
years, attracted by the country's growth potential.
"With global
investors eager to invest in China, private equity firms will have to offer more
than just cash and the prospect of a buyout as is the practice in the United
States," Marks said.
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