China Shouguang Agricultural Product Logistic Park, one of the leading agricultural market operators in the country, yesterday said that it will sell a 30% stake in the company to a consortium led by Blackstone Group for US$600 million, according to sources.
This will be Blackstone’s second major investment in China. Its first major investment is the purchase of a 20% stake in leading chemical maker China National BlueStar (Group) Corp for nearly US$600 million in 2008. The investment is also the first pre-IPO deal for Blackstone in China.
Sources said that this will be the last round of fund raising from private capital before the company goes public. Shouguang intends to raise as much as US$700 million from an initial public offering in Hong Kong this year.
The consortium also includes Capital, Atlantis Investment Co Inc and Warburg Pincus Llc, sources said.