The FTZ International Fund Harbor. [Photo/Wechat account of Xiamen FTZ]
The equity financing market is reportedly flourishing in the Xiamen Free Trade Zone with the new FTZ International Fund Harbor attracting a major concentration of capital.
In just a few months of operations, the fund has exceeded its target size of over 30 billion yuan ($4.12 billion), becoming a focal point of interest for numerous investors.
Efficient operations lead to rapid dividend distribution
AIC refers to non-banking financial institutions that are mainly engaged in bank debt-to-equity swaps.
In September last year, the Xiamen FTZ International Fund Harbor welcomed its first AIC fund with a scale of over 10 billion yuan – the ICBC AIC Fund.
With a target size of 10 billion yuan, the fund has deftly adopted a combined "equity investment fund + debt-to-equity fund" model, which can accurately meet the funding needs of enterprises at different stages of their development.
This is said to inject strong momentum into the development of key industries and new industries in Xiamen.
Capitalizing on synergistic development
The Xiamen FTZ has a unique mechanism for synergistic development. This allows for coordinated contributions from municipal, district-level guidance funds, State-owned enterprises and other entities to create powerful synergies.
Through the development of the synergies, fund investments in Xiamen FTZ can better integrate resources from various parties, generate collective strength and support the rapid development and transformation of key industries in Xiamen.
This in turn, provides investors with broader development opportunities and higher investment returns.