Asia Pacific Resources eyes IPOs for three of its clean energy investments

Cheng Kin-ming, the largest shareholder of Hong Kong-listed Shunfeng Photovoltaic International, has unveiled initial public offering plans for three new energy firms in which he has substantial stakes.

Shunfeng acquired bankrupt Wuxi Suntech - the main subsidiary of Suntech Power, the mainland's largest solar power panel maker - in April. The energy firms are part of investments worth about US$3 billion Cheng has made in clean and new energy-related companies in the past decade through his Hong Kong flagship Asia Pacific Resources Development Investment.

He made his fortune in the early 1990s from property investment on Hainan Island, but said yesterday he had stopped buying land for development a decade ago and changed his investment focus to companies in the technology, knowledge and health sectors.

"Except for the aerospace sector, I have invested in most things technology related," he said. "I never invest in firms that are already listed, and I tend to get into things five to 10 years before they become hot sectors chased by investors, so by the time they are hot I am making my exit."

Cheng, originally from the mainland and also known by his Putonghua name, Zheng Jianming, said one investment, Jiangxi-based energy efficient lighting maker Lattice Power, was preparing for a New York stock exchange listing in the second quarter of next year and was aiming to float at a valuation of US$5 billion to US$6 billion.

It made a profit of US$20 million last year, which Cheng said could rise to US$150 million next year as it ramps up production.