Assets Managing Company to Buy Shares in SCP
The world’s largest alternative assets manager Blackstone Group is all set to purchase 40 percent in SCP Co. a Chinese shopping mall operator and developer. Along with Blackstone is ICBC International Holdings a overseas investment banking platform and China’s largest bank will also buy 6 percent stake of the Shenzhen based SCP which in turn will increase its total assets o US$ 2 billion, while Blackstone didn’t release the amount of their investment.
Stephen Schwarzman Blackstone’s CEO is also planning to step up the company’s real estate investment in Asia and tap its market as the company allots US$ 4 billion as funds. Furthermore Blackstone is one of the biggest buyers of property in Australia and India and will be increasing its investments in China as the country sees an increase in urbanization and income.
As the economy in China is being driven by domestic consumption, its retail sector shows potential and there are only a handful of high quality shopping mall managers and SCP is the most experienced in these matters. Shenzhen based SCP operated and owns 19 malls all over China namely Suzhou Incity, Hangzhou Incity and the Shenzhen SCP Plaza.