In Nov. 17-18, 2016, “CV · 2016 China Investment Conference” was held solemnly in Beijing. This conference, based on the theme of “folding capital”, is designed to discuss the synergy and cooperation point in merger and acquisition with all parties participating in the capital market, enabling listed companies, VC/PE and innovative enterprises to greatly connect with one another and yield a great number of positive results on the same platform. Meanwhile, CVINFO officially released the “2016 China Investment Conference · Beijing Top List” where WINS Investment ranked CV Top 10 Best Mezzanine Funds of China in 2016.
Mr. Li Fude, Managing Director of WINS Investment was invited to attend this conference.
At the conference, Managing Director Li Fude had an in-depth exchange with guests on the development trend of mezzanine funds. He said that WINS, developed from the real estate development business of Gemdale, comes as a financial platform established by a professional property development enterprise, for which its entire business operation and judgment more depends on the requirements of real estate enterprises.
According to him, as for project selection, WINS more focuses on such integrated factors as city, enterprise and project quality to form a complete judgment on the project when conducting businesses. From the inner of WINS, the core factor it depends on is more than such concepts as mortgage rate but the examination of project quality, profitability and realizable liquidity as well as the emphasis on the ability of fast revenue realization for project selection and discrimination.
From the point of city invested, WINS is inclined to the first-tier and second-tier cities or the third-tier core cities, while from the perspective of enterprises invested, WINS intends to cooperate with top 100 enterprises as opposed to top 30 or top 50 enterprises required by insurance funds. WINS pays more attention to the necessary quality of projects. WINS maintains far more requirements toward project quality than the conventional criteria of financial institutions on projects, for which it doesn’t emphasize the leverage ratio of 1:1 or 3:7 any more when designing the project structure. Based on the form of mezzanine fund applied in WINS, it is allowed to keep a less proportion of funds in the hands of the localities of the partnership, and the necessary quality of projects also enables WINS to carry out management output and brand export and through relevant cooperation in mezzanine mode, to complete project operation.
For the entire standard, the core consists of city, enterprise and project as well as the profitability of projects and liquidity from the judgment, said Managing Director Li Fude.
Gemdale (600383.SH), a shareholder of WINS Investment, initially established in Shenzhen, China in 1988, becomes one of the first listed real estate companies that ran business across the country, whose businesses include development and sales of residences, development and sales, holding and operating of commercial real estate, real-estate finance, property service and community operating, and international education featuring tennis and sports business. The residential and commercial projects developed and held by Gemdale scatter in 33 cities across US and China. By the end of 2015, Gemdale obtained about RMB 61.7 billion Yuan of real estate sales with a sales area of about 4.46 million square meters and enjoyed a land reserve of about 26.29 million square meters and the total asset of about RMB 139.4 billion Yuan.
WINS Investment is a private equity management company focusing on investment in China’s real estate market with offices in Hong Kong, Beijing, Shanghai and Shenzhen. Led by pioneer spirit, WINS Investment started to explore the real estate finance market in 2006, jointly launched a dollar fund (UG Fund), the first standard real-estate fund in China, with UBS in 2008, and began to develop its RMB fund business in 2010, making itself a leader in China’s real estate fund. Following the core value of “PROFESSIONAL WIN TRUST” and the basic working method of “value discovery and value creation”, WINS carries out investment and asset management businesses and creates value for customers and improves customer experience through matching risks and benefits. Until now, WINS Investment has realized the total RMB asset management scale of about RMB 30 billion Yuan.
