In the News Reuters News

China Takes on Private Equity at Their Own Game

The Beijing government has changed regulations to bolster domestic private equity funds. Chinese yuan-based funds now do not need central government approval for deals, a significant advantage when foreign funds have seen purchases slowed or derailed during the approval process. There is evidence that domestic Chinese funds will grow in size and scope in the coming years.

"Not surprisingly, local funds' advantages are proprietary contacts, government relationships and the ability to value Chinese companies more accurately," said David Eich, a partner at law firm Kirkland & Ellis.

This article appeared in its entirety in the November 22, 2007 edition of Reuters News.