Warburg Pincus-backed D&J China launches US$1.45 billion industrial park fund with AVIC Trust

Warburg Pincus-backed D&J China launches US$1.45 billion industrial park fund with AVIC Trust

D&J Industrial Property China Investment Ltd., a business park and suburban office developer which is owned by Warburg Pincus through a majority stake, has launched a capital fund with AVIC Trust to invest in industrial infrastructures in China.

Co-founded by the Aviation Industry Corporation of China (AVIC) and OCBC Bank of Singapore, AVIC Trust is an investment and trust manager in China, with assets under management of over RMB430 billion (about US$62.18 billion).

With this partnership, the D&J Zhiyan Equity Investment Fund raises an initial equity capitalization of RMB10 billion (about US$1.45 billion), founded on a USD-RMB hybrid basis, which is said to be the first of its kind in China.

“In addition to helping tenants lower potential cost of land sourcing, infrastructure and facilities construction, the fund also seeks to provide integrated services in the areas of finance, data storage, consultancy, and R&D,” said the chairman of AVIC Trust, Yao Jiangtao.

The capital is dedicated to China’s industrial infrastructure landscape, where it will mainly be used to invest in modern integrated industrial parks in China’s major cities – backing projects which include business parks, production facilities, and R&D parks.

“Driven by a strong trend for an industrial upgrade, continued urbanization and rise of the knowledge economy, the fund will invest in quality assets and provide modern infrastructure services for corporates and manufacturers across the entire industry value chain,” said Sun Dongping, the co-founder and chairman of D&J China.

China’s D&J Industrial holding is the second real estate platform co-founded by Warburg Pincus and Sun Dongping, after the pair co-founded warehouse developer e-Shang in 2011.

Since its establishment, China D&J has completed two rounds of financing and currently has over 1.2 million square meters of operating and under development properties in Beijing, Shanghai, and other Chinese cities.

The company’s tenants portfolio include Shell, Abbott, and FMC, as well as high-tech knowledge economy companies – Asiainfo and iSoftStone.

D&J China targets to grow its assets to over 5 million square meters in the next three to five years, targeting to increase its total asset value to RMB45 billion by 2020.

By Vivian Foo, Unicorn Media

Airfrov, a Singaporean online shopping app connecting buyers with travelers enters Indonesia

Airfrov, a Singaporean online shopping app connecting buyers with travelers enters Indonesia

Airfrov, a platform that connects buyers with travellers for requesting products from abroad is now expanding its market reach to Indonesia – a strategic move responding to the opportunities in the increasing numbers of travelers that are crossing Indonesian borders.

Based in Singapore, the startup launched in 2015 has been operating for a year and a half, before it began expanding its businesses into Indonesia that has started since last August.

But entering Indonesia, Airfrov will be facing competition from existing peer courier services such as BisTip and Neetip.

“This trend of bringing back overseas products is getting popular, but there are some issues concerning the conventional process, for example, the limited number of products that can be sent, the long duration of delivery, the payment guarantee, and the high delivery fees,” said Airfrov, CEO Cai Li.

In response to the competition, Airfrov intends to set itself apart from other P2P courier services, through offering a safer solution that prioritise the needs of users.

Through its website and mobile application, Airfrov offers a simple way to shop abroad. Requesters simply post the desired items and offer a price quote, while Travelers abroad who are interested will meet the demand.

Additionally, the company will handle the payment from the requester and keep it until the items have been paid for. Travellers will receive their money only after the products have arrived in the requesters’ hands.

Besides, Airfrov also features information on the latest trends and popular existing products abroad.

“We are currently focusing on building the best user experience for our users in Indonesia and a strong local team to understand the people’s culture and local trends more deeply,” said Airfrov CTO Robi Ng, who is an Indonesian.

In this aspect, Airfrov also continued their efforts through approaching users who have used their services in order to get input related to Airfrov development as well as maintaining relationships in order to re-use the service and recommend it to people nearby.

Airfrov is said to have more than 95,000 active users, some of whom reside in Indonesia. Its soft launch event held in August has claimed to have received more than 1,000 offers from 150 travelers.

In an effort to continue increasing the number of users in Indonesia, Airfrov has partnered with Martha Tilaar, a homegrown cosmetics company. This partnership is in part due to the potential of the beauty school student who requires imported beauty supplies not found in Indonesia.

“Those who need products that are outside the country is expected to see Airfrov as a solution,” Cai Li adds.

By Vivian Foo, Unicorn Media

Video URL: https://www.youtube.com/watch?v=r6O8Bt1I78Y&feature=youtu.be