Private equity firms offer business expertise as well as capital
PRIVATE EQUITY investment in Asia is not only providing much needed funds for expansion and development, in many cases it includes sector-specific expertise and a wealth of international management experience.
While the traditional route for private equity companies is to buy controlling stakes in mature but sputtering enterprises and then try to turn them around, they often act more like venture capitalists in emerging economies such as those found in Asia.
They look for promising companies in industries ranging from information technology to textiles and seek to give them a boost, doing everything from injecting more capital for expansion to actively becoming involved with management and providing strategic guidance.
Baring Private Equity Asia is one company that seeks to deploy management influence in the companies in which it invests. Investment covers a broad spectrum of industries, including telecommunications, financial services, the automotive sector, telecom equipment, consumer products, educational tools, semiconductors, electronics and manufacturing.
Primary investment markets include China, India, Singapore, Hong Kong, Taiwan and South Korea.
