Don’t assume a Beijing backstop when investing abroad, says China Everbright CEO
Chinese companies should consider their own capability and potential return when investing abroad, says China Everbright’s Chen Shuang
Chinese companies seeking to forge relationships with foreign entities under the “One Belt” programme should consider their own capability and potential return on investment, laying the track for an investment plan that does not rely on government backing, according to Chen Shuang, chief executive of China Everbright.
“Government will only tackle the top-level problems such as tax arrangement and bilateral investment protection,” Chen said.
He made the comments Monday on the sidelines of the South China Morning Post‘s China Conference in Hong Kong.
State-owned China Everbright is planning to launch a new infrastructure fund targeting Asia and Europe with a size of more than HK$5 billion (US$645,000) within this year.
Chen said the company is currently eyeing airport facilities investment in Europe, with details to be announced soon.
He believes such an investment will create synergy with the company’s aircraft-leasing business.