Tweet
http://www.ft.com/cms/s/0/d4bfc37c-a...44feabdc0.html
China Investment Corporation's purchase of an $856m stake in Noble Group, the commodities trading company, is the clearest indication yet that Beijing wants to secure agricultural commodities supplies after last year's food crisis.
The investment in a sector aligned so closely with the government's strategic objectives marks a shift for the sovereign wealth fund, which is interested increasingly in deals that are linked directly to the perceived national interest.
[..]
In a statement disclosing the sale of 15 per cent to CIC, Noble said food was at the core of the deal.
It had agreed to a partnership for the "purpose of jointly investing in infrastructure assets and supply chain management related to agricultural commodities".
Until now, China's overseas investments in natural resources assets have focused on oil and minerals.
The price of food commodities such as rice, wheat and soyabeans surged to multi-decade highs in 2008, in part due to strong Chinese demand, triggering panic buying and a spate of export bans.
[..]
JPMorgan advised CIC on the Noble investment, with the latter advised by Bank of America Merrill Lynch.
[..]
As well as US real estate, investment bankers said CIC was looking at deals related to the resources sector, infrastructure and consumer industries.
******
side note: as we can see from this article, Master's of the Universe have a stake in every outcome.
China Investment Corporation's purchase of an $856m stake in Noble Group, the commodities trading company, is the clearest indication yet that Beijing wants to secure agricultural commodities supplies after last year's food crisis.
The investment in a sector aligned so closely with the government's strategic objectives marks a shift for the sovereign wealth fund, which is interested increasingly in deals that are linked directly to the perceived national interest.
[..]
In a statement disclosing the sale of 15 per cent to CIC, Noble said food was at the core of the deal.
It had agreed to a partnership for the "purpose of jointly investing in infrastructure assets and supply chain management related to agricultural commodities".
Until now, China's overseas investments in natural resources assets have focused on oil and minerals.
The price of food commodities such as rice, wheat and soyabeans surged to multi-decade highs in 2008, in part due to strong Chinese demand, triggering panic buying and a spate of export bans.
[..]
JPMorgan advised CIC on the Noble investment, with the latter advised by Bank of America Merrill Lynch.
[..]
As well as US real estate, investment bankers said CIC was looking at deals related to the resources sector, infrastructure and consumer industries.
******
side note: as we can see from this article, Master's of the Universe have a stake in every outcome.