City Of London
HSBC’s £1 Billion Buyout Fund With China Falters as Strains Grow
- Fund has raised half of target capital, person familiar says
- Worsening geopolitical tensions have hit aspirations
This article is for subscribers only.
Right before the pandemic struck, a slated £1 billion ($1.2 billion) buyout fund backed by HSBC Holdings Plc and sovereign wealth fund China Investment Corporation was hailed as an example of growing business ties between Beijing and London.
Three years later, the venture is a mirror to China’s fraying relationship with Europe and the US, as well as the years of upheaval caused by pandemic-era lockdowns.