Skip to content Skip to Search
Skip navigation

Saudi PIF to invest $500m in Hong Kong Chaoshang

PIF's investment includes $100 million in five-year convertible debentures and $400 million in a five-year loan Reuters/Florence Lo
PIF's investment includes $100 million in five-year convertible debentures and $400 million in a five-year loan

The Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth fund, has signed an agreement to invest $500 million in Hong Kong Chaoshang Group, an investment holding company.

The investment includes $100 million in five-year convertible debentures and $400 million in a five-year loan.

Negotiations on the terms of the investment will be completed within three months, the Hong Kong-listed company said in a statement. However, the agreement is not legally binding.

The PIF funding will boost the company’s liquidity and increase investments in mining, healthcare and other sectors.

Hong Kong ChaoShang Group Limited saw its operating loss increase for the fiscal year ended March 31, 2024, with losses rising from HK$42 million ($5 million) in 2023 to HK$87,563,000.

In November 2023, PIF was reported to be in discussions about a $250 million investment in the Chinese electric vehicle maker Human Horizons Group.

A month later, the wealth fund was also said to have increased its investment to $200 million in a technology venture backed by China’s Alibaba Group.

Last year, a new exchange-traded fund (ETF) tracking Saudi equities was listed in Hong Kong, becoming the first product of its kind in Asia.

In May this year it was revealed that officials in Hong Kong were planning to set up an ETF with Saudi Arabia’s stock exchange.

Michael Wong, Hong Kong’s deputy financial secretary, speaking at the inaugural international Capital Markets Forum in Hong Kong, said formal negotiations were under way for an investment promotion and protection agreement with Saudi Arabia.

Wong said that the Hong Kong government was also considering establishing an economic and trade office in Riyadh.

Latest articles

Suriname oil

QatarEnergies buys into Suriname oil expansion

The state-owned giant QatarEnergy has signed a deal with US oil company Chevron to acquire a 20 percent interest in a production-sharing contract for an offshore concession in the South American country of Suriname. Chevron will keep a 40 percent interest in Surname’s block 5, as will Paradise Oil, an affiliate of Suriname’s national oil […]

Videos released last month show construction of the Royal Arts Complex at King Salman Park is well underway

Full steam ahead on ‘largest urban park in the world’

Saudi Arabia is forging ahead with construction of what it calls the “largest urban park in the world”, publishing videos of its first buildings under construction after a tunnel opened earlier this year.  King Salman Park in Riyadh is owned by the Public Investment Fund and was recently valued by real estate consultancy Knight Frank […]

Saudi and Lilium signed an agreement this week for 50 air taxis with an option for 50 more

Saudia to buy 50 air taxis from Germany’s Lilium

Saudi national carrier Saudia has agreed to buy at least 50 pilotless electric flying vehicles from Germany’s Lilium in the region’s biggest “air taxi” deal so far.  The deal for what the industry calls electric vertical take-off and landing (eVTOL) aircraft is Saudia’s second major order this year. In May Saudia ordered 105 Airbus aircraft, […]

The Trump hotel and tower in Chicago; details of location and construction of the Dubai tower are expected to be released before the end of the years

Dar Global to build new Trump tower in Dubai

The Trump real estate brand got another boost in the Gulf on Thursday as developer Dar Global announced it would build a Trump Tower in Dubai. The London-listed overseas arm of Saudi Arabia’s largest developer Dar Al Arkan said further details about the agreement with the Trump Organization, such as the exact location and construction […]