CDIB Capital Invests in Leading Renewable Resource Technology CompanyHong Kong, February 3, 2016
CDIB Capital Asia Partners Fund has closed a US$30 million investment in Anhui Dong Jin Renewable Resource Technology Co., Ltd ("Dong Jin"), a leading manufacturer of staple fiber, filament and fabric made from post-consumer recycled PET ("recycled polyethylene terephthalate" or "rPET") bottles in Jieshou, China. The new transaction is the fifth portfolio company in the Fund which closed at US$405 million in July 2015.
Established in 2010, Dong Jin produces five unique product lines manufactured from rPET which are widely used in textile/apparel applications, consumer goods, and home furnishing. The investment will allow the Company to further expand production capacity as well as enhance research and development efforts.
As global brands, consumers and governments increase emphasis on environment issues, producers are increasingly opting for more eco-friendly options when manufacturing products. Dong Jin’s utilization of recycled materials not only promotes resource sustainability, but also resonates well with China’s 13th five-year plan, which takes aim at creating a circular economy and reducing the carbon footprint of consumption-related synthetic products.
“We are excited to have CDIB Capital join Dong Jin as a value-add partner” said Wen Dong Shi, Chairman of Dong Jin. “CDIB Capital’s expertise and extensive network within the Asia Pacific region will be key in the continuous expansion of our business.”
“Our investment in Dong Jin exemplifies CDIB Capital’s “China-Plus” strategy” said Lionel de Saint-Exupery, President and CEO of CDIB Capital. “We look forward to working with Chairman Shi and his team to develop innovative products, expand production capacity and fulfil the fast growing demand for rPET products in the context of increased consumer focus on sustainability.”
“We will work closely with the Company to focus on vertical integration down the value chain and look to introduce strategic partners to enhance the value-added proposition of the Company’s products and access new customers” he added Steven Wu, Managing Director of CDIB Capital who will be joining the Board of Dong Jin.
CDIB Capital was founded in 2006 as the international private equity arm of China Development Financial (“CDF”), one of the largest and most established merchant banking groups in Greater China and Taiwan’s first and leading direct investment firm with over 50 years of investing experience in Asia. Benefiting from CDF’s five decades of private equity experience and its extensive resources and networks in Greater China, CDIB Capital has developed and successfully executed its “China-Plus” strategy since 2006. In 2014, CDIB Capital Asia Partners L.P. was formed to continue to pursue its China inbound and outbound strategy as a way to capitalize on the secular growth of China while mitigating associated risks. For queries, please contact Investor Relations, Elizabeth Lee at +852 22318618 or email@example.com