Carlyle completes partial exit from HK-listed Haier Electronics

According to a filing with the Hong Kong Stock Exchange, Carlyle sold 100 million shares by way of a block trade on Friday. The shares were sold at HK$22.1 ($2.85) a piece, representing a 10% discount on Friday's close. The indicative price range was HK$22-HK$22.50.

Shares in Haier have risen by around 146% since August 2011, when Carlyle bought $194 million worth of convertible bonds and warrants in the company, allowing them to acquire as much as 9% of the business.

Carlyle made its investment through Hawaii Asia, a wholly-owned subsidiary of Carlyle Asia Partners III - a $2.55 billion vehicle launched in 2007. According to Haier's 2013 interim report, prior to the share sale Carlyle owned 240 million shares or 9.44% in Haier.

Set up in 1984, Qingdao-headquartered Haier engages in the research, development, production and sale of washing machines and water heaters under the Haier brand. In recent years the firm has expanded into distributing third-party products and logistics which now make up more than 70% of its total sales, while consumer electronics accounts for the rest.

Carlyle is barred from selling its remaining Haier shares for 90 days. Goldman Sachs was the sole bookrunner on the deal. Haier Electronics recorded a 10% rise in its revenue in the first half of last year to RMB28.98 billion ($4.79 billion), while net income rose 15%.

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• Topics
• Exits
• Buyout
• Greater China
• Consumer
• The Carlyle Group
• Consumer
• Exit
• China