Founder Group to float PE fund

SHANGHAI: China's No 2 PC maker, Founder Group, is raising a 2-billion-yuan private equity fund with a focus on technology, media and telecom sectors as it seeks new profit streams, sources said yesterday.

It would be Founder Group's first private equity fund. Its bigger PC rival, Legend Holdings, established two investment firms - Legend Capital and Hony Capital - years ago, and the two are now very active players in China's private equity industry.

The fund would be denominated in yuan because major institutional investors, so-called "limited partners" in the private equity fund, include many domestic enterprises, said a person who is familiar with the plans. Founder Group also plans to inject some money, but the amounts were not disclosed.