SINGAPORE (March 31): Mercurius Capital Investment, formerly known as CCFH, is teaming up with a Sichuan-based investment holding company to manage a RMB500 million ($112 million) private-equity fund targeting projects leveraging on urbanisation in China.

The tie-up with Sichuan S-Hyland Group is undertaken by Mercury Capital Asset Management, a company being acquired by Mercurius.

Sichuan S-Hyland Group, which is involved in fund management and property development, will raise RMB300 million for the fund while Mercury will be responsible for the remaining RMB200 million.

The fund will invest in urbanisation and redevelopment projects in third- and fourth-tier Chinese cities.

Separately, Mercury intends to set up a US$300-million ($412-million) fund, with money raised from institutional investors, to invest in solar power projects in the Caribbean.

"Leveraging on the low production and installation costs of solar photovoltaic systems in China, Mercury continues to explore strategic partnerships with leading industry players and major manufacturers from China of solar power systems to collaborate on more solar projects in the Caribbean region," it said.

Mercury will also team up with TianHe General Aviation, a firm that provide pilot training and flight-chartering services, to offer helicopter lifting services.

It will sign a helicopter-leasing agreement with TianHe to provide lifting services to companies in China that require the transportation and installation of heavy equipment.

"This is a niche industry with high barriers to entry," Mercury said, citing stringent licensing requirements for the use of sky-cranes in China.

Mercurius Capital Investment, which started out in the children's fashion business under Friven & Co before renaming itself CCFH, announced plans two months to diversify into corporate finance and wealth management in China through the acquisition of Mercury Capital.