6 December 2011 

Permira, the European private equity firm with global reach, today announced a Memorandum of Understanding (“MOU”) for Establishment of Strategic Partnership, whereby Permira becomes CDB Capital’s sole European private equity partner among all current strategic partners. 

The MOU represents a significant step in Permira’s ongoing expansion in China. It will enable the two parties to work together on pursuing private equity investment opportunities in China as well as overseas in businesses looking to expand in China. Together, Permira and CDB Capital also aim to support Chinese firms as they look to expand in Europe. This partnership will also deepen Permira’s ability to source deals for its existing global portfolio companies who are seeking to invest and expand further in China. 

Kurt Björklund, Co-Managing Partner of Permira, said, “China Development Bank is one of the key drivers of China’s economic development. It is our great pleasure to enter into this MOU with CDB Capital, becoming its European strategic partner. Our cooperation agreement will provide the Permira funds with excellent access to investment opportunities in China. Since 2005 we have been committed to developing our investment activities across Asia and have already deployed significant capital in the region. With the appointment of Alan Chen as the Head of China over the summer we have recently stepped up our presence in China and look forward to further expanding our Chinese footprint.” 

Permira has been one of the most active private equity firms in Asia over the past five years, with its latest fund having deployed more than US$2bn of capital in three companies: the Macau gaming and hotel business Galaxy Entertainment (2007), the Tokyo-based international agrochemicals business Arysta (2008) and the fast-growing, HK-headquartered satellite business Asia Broadcast Satellite (2010). Permira has two offices in Asia today (Hong Kong and Tokyo) and twelve investment professionals dedicated to sourcing attractive investment opportunities across Asia. The team is also complemented by senior industry advisers including David Ho, former President of Nokia in China; Yoichiro Furuse, formerly CFO of Sanyo and SVP of Mazda; Yasu Tsuchiya, formerly SVP of GE Japan and Hiro Yoshihara, former International Vice Chairman of KPMG.