Haitong to Acquire Leasing Company From TPG for $715 Million

Haitong Securities Co. (6837), China’s second-largest brokerage by market value, said it plans to buy Shanghai-based leasing company UT Capital Group Co. from U.S. private-equity firm TPG for $715 million.

Haitong will buy 100 percent of UT Capital, the Shanghai-based brokerage said in a filing to the city’s stock exchange yesterday. Haitong will pay cash for UT Capital, which TPG bought in 2008, TPG said in a separate e-mailed statement.

UT Capital’s main operating unit is UniTrust Finance & Leasing Corp., which provides financial leasing services to more than 3,000 customers in China in industries including health care, education, printing, textiles, machine tools, electronics and injection molding, TPG said.

In April, TPG was seeking $800 million for UniTrust, Reuters reported at the time, citing unidentified people with knowledge of the matter. Morgan Stanley and UBS AG were handling the deal, the news agency said.

UT Capital’s total assets increased to 10.5 billion yuan ($1.72 billion) in 2012 from 4.4 billion yuan in 2010, TPG said in its statement yesterday. The company’s net income was 199 million yuan in the first half of 2013, TPG said.

To contact Bloomberg News staff for this story: Daryl Loo in Beijing at dloo7@bloomberg.net

To contact the editor responsible for this story: Jason Gale at j.gale@bloomberg.net

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