CDH Investments Makes PIPE Deal with HK-listed New Focus Auto (Asia)
Source: New Focus Auto, Greater China Private Equity Review | Author: Polly Cheung
CDH Investments, a China-based alternative asset fund manager, has agreed to invest US$97.4 million in Hong Kong-listed automotive aftersales service provider New Focus Auto Tech Holdings (NFA) through a subscription to ordinary shares and convertible bonds. Upon full conversion, CDH will own 63.2 percent of the company. The investment enables NFA to redeem existing bonds held by pan-Asia private equity firm STIC Investments at a price of US$40 million. NFA will also use the financing to expand through acquisitions and new store openings.