Goldman Sachs 2012 Annual Report Download - page 25

23Goldman Sachs 2012 Annual Report
Goldman Sachs manages a
successful private placement
for one of China’s largest
insurance companies.
Driven by a burgeoning middle class, insurance
companies in China are growing fast. This growth
makes them unique, and often desirable, opportunities
for investors. But for the China Pacific Insurance
Group, the question was, which investors? Specifically,
how could they attract investors who were willing to
make a substantial investment in the company, with
a long-term view.
To achieve this, the company turned to Goldman
Sachs, as sole bookrunner and placement agent, to
find a group of international investors to purchase
462 million shares.
With strong relationships around the world, the
Goldman Sachs team soon focused on three leading
sovereign wealth funds: the Government of Singapore
Investment Corporation, Norges Bank (the central
bank of Norway) and the Abu Dhabi Investment
Authority. For the funds — all of them Goldman Sachs
clients — it was among the largest investments they
ever made in China. For China Pacific, it meant the
addition of three very well-known and well-respected
investors to the company’s shareholder base.
The $1.3 billion deal, executed in September 2012,
was a substantial win for all parties. While China
Pacific strengthened its capital base to support future
business growth, the investors themselves got
precisely what they were looking for: a significant
stake in a high-growth business in the largest and
most dynamic growth market in the world.
Jian Mei Gan
Investment Banking Division, Hong Kong
Watch video
Jian Mei Gan (Hong Kong) and Xi Pei (Beijing),
both Investment Banking Division, talk about
their experiences working on the China Pacific
Insurance transaction.
Go to: goldmansachs.com/annual-report/cpig