Carlyle Group and Fosun Group have received a business license for their private equity joint venture, becoming the first to be registered in Shanghai after registration rules for foreign investors entering JVs were simplified, state media reported. Foreign companies applying to form joint ventures in non-restricted industries can now apply directly to local authorities for approval instead of the Ministry of Commerce, greatly speeding up and simplifying the entire process. Carlyle and Fosun announced in February they were planning to launch a US$100 million renminbi-denominated private equity fund. "The partnership between Carlyle and Fosun will inject a new vitality to Shanghai as it aims to become a global financial hub by 2020 as the new rule has facilitated the development of foreign private equity firms in China," a senior Shanghai offical said.
Categories