Dentons advises on the formation of the Beijing New Power Quality Enterprise Development Fund

Recently, Beijing New Power Quality Enterprise Development Fund (Limited Partnership), which was represented by Dentons China senior partner Li Shoushuang, partner Li Xue and intern attorney Wang Xiaocen, has completed the official formation and the first round of recruitment.

The fund is a special poverty alleviation fund in Xicheng District, Beijing. It was initiated by the Beijing Financial Street Capital Operation Center, a state-owned capital operation platform in Xicheng District, Beijing, with the Xicheng District Government Guided Fund as its cornerstone investor. It is run in cooperation with GF Securities Asset Management (Guangdong ) Co., Ltd. and managed by Beijing Xicheng Jinrui Equity Investment Fund Management Co., Ltd.

The target size of the fund is 10 billion yuan, and the initial scale is estimated to be 4 billion yuan. The fund is mainly invested in high-quality private listed companies that focus on entity management, have good performance and possess temporary liquidity crisis. They use equity and equity-alike investment methods to provide funds for listed companies, do not seek control of the equity, do not interfere with the normal business activities of the enterprises, hold shares periodically, and ease the liquidity risks of listed companies.

The fund is responsible for all aspects of the establishment of the structure, the fundraising, the establishment of legal documents and the establishment of internal management decision-making mechanisms, etc. by Li Shoushuang, Li Xue, and Wang Xiaocen.