UK bank Standard Chartered has invested $50 million (€40 million) in Shimao Property Holdings, a Chinese real estate developer.
“With the steady growth of the Chinese economy, accelerating urbanization, and the strong demand for housing upgrade by city residents, we believe the real estate sector in China will continue its robust growth,” said Karam Butalia, the global head of Standard’s property group, in a statement.
The investment came via its private equity arm. Co-investors in the company included Morgan Stanley’s real estate investment fund.
In late June, Shimao offered 595 million shares in an initial public offering, raising HK$3.7 billion ($476 million; €379 million).
Shimao Property, controlled by businessman Hui Wing-mau, develops luxury properties across China, including residential, hotel and commercial projects. The company is currently developing projects in nine cities. The bank said it would consider investing in projects in all stages of development.
The investment by Standard Chartered is its first in China.