Rothschild launches Chinese investor fund

Lord Rothschild is introducing a $750m buyout fund which will allow Chinese investors to take stakes in Western companies.

This week RIT Capital Partners revealed plans to launch a new $750 million investment vehicle which “for the first time… will enable Chinese private sector onshore money to invest overseas through a private equity fund”, the firm said in a statement.

[The fund provides] opportunities for Western companies to enter China’s rapidly growing and vibrant economy

Lord Jacob Rothschild

Excluding Japan, the fund will seek minority stakes in Western-based multinational companies and initially target sectors where the West holds a competitive advantage, such as in luxury goods and clean technology.

RIT Capital Partners, the listed investment house backed by Lord Jacob Rothschild, is teaming up with Beijing-based investment firm Creat Group to help scout potential Chinese investors. Joining the duo will be Quercus Ventures, a China-focused investment advisory firm.

Aside from allowing China’s private sector to invest in the Western world, the fund also provides “opportunities for Western companies to enter China’s rapidly growing and vibrant economy”, said Rothschild.