Cathay generally acquires meaningful minority equity positions in companies with proven management, strategically valuable market positions and successful operations. Cathay typically provides growth capital to companies seeking to expand operations across a wide range of industries.
Cathay prefers domestically-focused companies, operating within ¡°basic industries¡± such as consumer products, financial services, media and advertising, infrastructure, transportation, natural resources, chemicals, technology, pharmaceuticals, property development, light manufacturing and heavy industry. Investment sizes generally range from US$8 to $80 million. Cathay's target investment period ranges from 3 to 10 years.
Cathay takes a "hands-on" approach, providing ongoing advice and assistance to entrepreneurs on corporate, strategic and capital market issues to help companies best utilize their capital in order to expand operations and to prepare for a capital market transaction. Cathay¡¯s team includes experienced operational experts, entrepreneurs, and former senior managers of multinational and local businesses in China.
Cathay's investment model is to develop close relationships with management and to align incentive structures so as to ensure that both management and financial investors benefit from the successful growth and ultimate realization of value following the achievement of a capital event such as an IPO or trade sale.
2015 New China Capital Management