SOUFUN gets $400M private equity funding from IDG Carlyle and management members

SouFun, operator of China’s biggest real estate portal and known as Fang.com in China, has secured $US400 million from private equity firms IDG Capital and Carlyle Group, together with the company’s CEO Vincent Mo.

SouFun founder and CEO Vincent Mo

SouFun Holdings Limited (NYSE: SFUN) ("SouFun"), the leading real estate Internet portal in China, announced today it entered into 

(i) a subscription agreement ( "IDG Subscription Agreement") with IDG Alternative Global Limited, which is an affiliate of IDG Capital Partners ("IDG") as of the date of IDG Subscription Agreement

(ii) a subscription agreement ("Carlyle Subscription Agreement", together with IDG Subscription Agreement, "Subscription Agreements") with Safari Group Holdings Limited and Safari Group CB Holdings Limited, which are beneficially owned by Carlyle Group ("Carlyle") as of the date of Carlyle Subscription Agreement. IDG, Carlyle and the management (mainly founder and CEO Vincent Mo) will invest a total amount between $400 million and $700 million (of which 50% will be convertible notes) to purchase SouFun's newly issued Class A ordinary shares and convertible notes ("Notes") pursuant to the Subscription Agreements.

One Carlyle Culture

Under the Subscription Agreements, the subscription price of the new Class A ordinary shares is US$5.85 per current ADS (i.e.US$29.25 per Class A ordinary share), which is higher than the closing price of SouFun's ADS as of September 16, 2015 and represents a 3.5% premium to the volume-weighted average trading price of the ADS for the 20 trading days preceding September 16, 2015. Holders of the convertible notes will have the right to convert the Notes into Class A ordinary shares at the price per share equal to 122.5% of the per share purchase price of the new Class A ordinary shares in 7 years after the issuance of the Notes. The Notes shall bear an annual interest of 1.5%.

"IDG and Carlyle's financial commitment to Fang.com shows their confidence in Fang.com's management," "With the new investment, the company will be in a better position to strengthen its transformation. The company will expand aggressively to more cities and rapidly increase its market share in existing cities with its new transaction and financial service business lines."  Vincent Mo, Chairman and CEO of Fang.com

 David Rubenstein - Co-Founder and Co-CEO, The Carlyle Group fascinating ,biographical interview 

Founded in 1993, IDG Capital Partners was one of the first foreign venture capital firms to enter the Chinese market and focus exclusively on Chinese companies. 

Over the past two decades, we have supported many exceptional entrepreneurs  who have gone on to build some of the world's leading technology companies.

In the process, we developed an in-depth understanding of the Chinese market and established close partnerships with many of today's most influential business leaders.

their business sectors include > Internet,Mobile & Tech Modern Services & Brand Healthcare Industrial Technology & Resources Media,Tourism & RealEstate.

China's SouFun Holdings, Ltd. Lists IPO on the NYSE (5 years ago)

SouFun operates the leading real estate Internet portal in China in terms of the number of page views and visitors to its websites and mobile apps in 2014. Through its websites and mobile apps, SouFun provides marketing, e-commerce, listing, finance and other value-added services for China's real estate and home-related sectors. SouFun's Internet portal and mobile apps are highly focused on user experience, and support SouFun's users in seeking information on the real estate and home-related sectors in China. SouFuncurrently maintains about 100 offices to focus on local market needs and its websites, mobile apps and database contain real estate related content covering more than 370 cities in China. For more information a SouFun, please visit http://ir.fang.com.

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