Sun Hung Kai Properties (SHKP) has taken a 20 per cent stake in a US$50 million venture-capital fund sponsored by Beijing Enterprises Holdings and San Francisco-based WI Harper Group to invest in the mainland's high-technology sector. SHKP had invested $10 million in the Beijing Technology Development Fund, Beijing Enterprises vice-president Fang Fang said. Beijing Enterprises, the Hong Kong-listed arm of the Beijing municipal government, also put in $10 million with the balance raised in the United States, Singapore and Taiwan. Mr Fang said the seven-year fund was expected to yield an internal rate of return of more than 25 per cent. Beijing Enterprises executive director Bai Jinrong said the fund would consider listing or directly selling projects on hand by the end of the seven-year period as a way of exit. The fund has signed letters of intent to invest in an e-commerce company and a wireless communications company in Beijing. Beijing Enterprises has concluded the purchase of a 24 per cent interest in Beijing WBL Peking University Biotech for 100 million yuan (about HK$93 million). The firm develops Chinese medicine products. It will also invest cash and fixed assets worth $24 million for an 80 per cent share in Beijing Enterprises Holdings High-Tech Development, which will focus on investments in hi-tech start-ups, research and development and management consultancy services. Mr Bai said the developments were part of a strategy to concentrate on the infrastructure and hi-tech sectors after its retail and tourism operations were affected by the Asian financial crisis.