China-based, global fishing company, Pingtan Marine Enterprise Ltd. has entered into a strategic investment agreement with the state-owned China Agriculture Industry Development Fund, (China Agriculture) the first Chinese fund to focus on agricultural investments along the entire value chain. Under the agreement, China Agriculture Industry Development Fund will invest US$64 million for the acquisition of an 8% stake in Pingtan Marine Enterprise Ltd. wholly owned subsidiary, Fujian Provincial Pingtan County Ocean Fishing Group Co. Ltd. Upon closing of the deal, which values Pingtan Fishing at US$800 million, Pingtan Marine will own the remaining 92% in its only subsidiary. The funds will be used for the acquisition of additional vessels and the construction of a processing plant to further the company’s goal of expanding into downstream activities selling fish products to end markets.
The US$640 million China Agriculture Industry Development Fund was founded in 2012 by China’s Ministry of Finance, the Agricultural Development Bank of China, Cinda Asset Management Corp., and CITIC Group, and is managed by Cinda Asset Management Corp.
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