Ming Fung Jewellery joins forces with L Capital

The move aims to bring synergies and enhances competitive edge for expansion in Greater China.

A world-class high-end jewellery products designer and manufacturer Ming Fung Jewellery Group Limited (“Ming Fung”) announced the strategic investment partnership with L Capital Asia, L.L.C. (“L Capital”), L Capital Asia is the fourth fund from L Capital and sponsored by LVMH. As at 28 July 2011, L Capital holds 8.61% interest of Ming Fung.

Immediately after the strategic investment, L Capital Asia has become one of the major shareholders of Ming Fung together with Equity Base Holdings Limited (a wholly owned company of Mr. Wong Chi Ming Jeffry, Chairman of Ming Fung), Mr. Choy Shiu Tim and Atlantis Investment Management Limited which own 8.2%, 7.78% and 7.25% of the share capital of Ming Fung respectively, according to a Ming Fung report.

Mr. Wong Chi Ming Jeffry, Chairman of Ming Fung, said, “We are delighted about the strategic partnership with L Capital Asia which is expected to bring substantial benefit to Ming Fung on operation expertise and strengthen our financial position, we will also gain from L Capital Asia’s vast global network and expertise in the high end consumer and retail business. With the booming luxury sector and favorable business environment in the China market, we are confident to achieve sustainable and respectable growth.”

Ming Fung has actively expanded its jewellery retailing business in China in recent years. Its jewellery products are mainly distributed via its own retail network and wholesale distributors in first and second tier cities across China. The Group also owns the rights to market its products at more than 300 retail stores of Hengdeli Holdings Limited – the largest leading distributor and retailer of imported watches in Greater China. In June 2011, the Group acquired a 90% equity stake of a jewellery and watches retailer which has the exclusive distribution rights of Gucci’s timepiece in Greater China and 42 retail outlets in China, boosting the Group’s whole distribution network to approximately 100 outlets in the country.