This week GIC, which has $343 billion in assets under
management, formed a joint venture with DLF Home Developers,
a subsidiary of New Delhi-based construction company DLF, to
invest in two residential development projects in the
center of the Indian capital. GIC will contribute 19.9
billion rupees ($300 million) to the venture.
According to local media reports, GIC is also vying with the
Canada Pension Plan Investment Board to buy a $400 million
stake in Pune-based automotive and aerospace technology firm
Tata Technologies from the firm’s major
shareholder, Mumbai-based car-maker Tata Motors.
Temasek, too, is eyeing an investment in Indian private
equity. The $194 billion state investor is ready to
participate in a financing round for Gurgaon-based technology
company Zomato Media, which runs a smartphone app that allows
users to book tables at restaurants, order takeaway
deliveries and share reviews.
Temasek likes companies that stand to benefit from the
burgeoning spending power of India’s emerging
middle class — it recently invested in Mumbai-based consumer
goods company Bajaj Corp., for example.
Asian Private Equity
Temasek also agreed to strike deals in East Asia this
week, seemingly unperturbed by potential spillover effects
from China’s stock-market slump.
The Singaporean firm is part of an investor group that has
submitted a bid for Homeplus, the Korean unit of British
supermarket giant Tesco. The consortium, which also includes
Seoul-based private equity firm MBK Partners and South
Korea’s National Pension Service, is thought to
be the preferred bidder for Homeplus and plans to pay 7.8
trillion won ($6.8 billion). According to local press
reports, MBK, NPS and Temasek have beaten competition from
two other investor groups (including a bid from a consortium
backed by GIC).
In China, Temasek’s subsidiary Pavilion Capital
has reportedly participated in a financing round for
Shanghai-based biotechnology firm Ascletis, which develops
treatments for cancer and infectious diseases. Temasek
invested alongside two Chinese companies: healthcare-focused
private equity firm C-Bridge Capital and Tasly
Pharmaceuticals, a unit of Tianjin-based conglomerate Tasly
Future Fund Grows to $92 Billion
Australia’s Future Fund
published its annual results
this week. The fund achieved a net return of 15.4 percent
during fiscal year 2015, growing to A$117.2 billion ($90.25
billion) as of June 30. The fund posted its impressive
performance despite lowering the risk level in its portfolio
and increasing its cash holdings from 11.2 percent to 19.5
percent during the fiscal year.
The fund also reduced its exposure to global equities from
32.8 percent of the portfolio to 27 percent, a move that
reflects its concerns over increasing volatility in
international stock markets.