Cathay SITC to set up PE firm, raise $330m for first vehicle

The urban landscape of Taipei, with the Taipei 101 skyscraper in the background.

Cathay Securities Investment Trust Co (Cathay SITC) is set to become Taiwan’s first asset manager to launch a wholly owned private equity (PE) firm as it raises NT$10 billion ($330 million) for its first vehicle, according to local media reports.

Last month, Taiwan’s Financial Supervisory Commission (FSC) gave the go-ahead for securities investment trust and consulting (SITC) companies to manage and operate PE funds through a subsidiary.

Cathay SITC said it will submit an application to form the PE subsidiary to the FSC by the end of the year and expects to launch the PE firm with a registered capital of NT$50 million ($1.64 million) by the end of January next year.

Jeff Chang, chairman of Cathay SITC, will spearhead the PE unit, which has not been named yet. As chairman of Taiwan’s Securities Investment Trust and Consulting Association, he was also one of the key persons to push for this regulation’s revision in the country.

At the fund forum in Hong Kong in August, Chang said that the private equity fund approval would come at the right time as local institutional investors seek high yield offshore investment opportunities due to the low interest rate in the domestic market. Additionally, the PE firms will encourage institutional investors to pour more capital into infrastructure, utility and green industries in Taiwan.

Cathay SITC, which is the main asset manager of Cathay Life Insurance, reported total assets under management of about $17.16 billion as of June 30, 2017.

Also read:

Cathay Innovation closes debut VC fund at $320m

HK-based Asia Alternatives makes final close of $1.8b Fund V

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.