Beijing Daily's official website reported early Wednesday that various districts in Beijing have set up funds or professional platforms to relieve the plight of private-owned listed companies. The funds have reached tens of billions of yuan, but most of them are staged holdings and do not seek control.
The report pointed out that Beijing Xicheng District intends to initiate the establishment of Beijing new power quality enterprise development fund. The target size of the fund is 10 billion yuan and the initial size is 4 billion yuan. The municipal governments at both levels will guide the fund to participate and introduce cooperative financial institutions and other social capital. The fund mainly invests in high-quality private listed companies which focus on entity management, have good performance and have temporary liquidity crisis.
The fund provides financial support to listed companies by means of equity and convertible bonds, does not seek controlling rights, does not interfere in the normal operation of enterprises, and holds shares in stages. Once the enterprises resolve the liquidity crisis, they will withdraw in due course. At present, according to the principle of "one enterprise, one policy", Xicheng District has sorted out the listed companies with key supporting targets in its jurisdiction and started relevant preparatory work. The first supporting project has formed a concrete scheme and is expected to be implemented in the near future.

<>Beijing has established tens of billions of scale funds to support private enter

 

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