Mezzanine Financing and Credit Investment
Mezzanine financing and Credit Investment concentrates on the investment opportunities in ABS investment, urban regeneration, enterprise mezzanine, project mezzanine, and troubled assets.We dig investment varieties with relatively high cost performance by flexible lever structure + underlying cash flow restructuring technology.Up to now,the accumulated AUM of ALAN AMC mezzanine financing and credit investment business sector are nearly CNY 30.6 billion, in which the scale of ABS and ABS-like investment is CNY 9.3 billion.
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ABS assets selection logic
The core of ABS investment logic is “high-quality issuers” + “enough asset safety cushion”
Logic 1: The issuance motivation of the issuers is reasonable and maintenance motivation is strong
Logic 2: Bankruptcy isolation
Logic 3: Asset cash flow with high predictability
Logic 4: It is necessary to accept safety cushion pressure testing
Logic 5: The trading structure is designed with a protection mechanism for downward asset performance
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ABS investment strategies：Earnings+Volatility+Risks
Core strategy 1：Preferentially select assets with principal cushion projects based on asset price stability and structure design of equity property
Auxiliary Strategy 2：Purchase stable assets from the secondary market with moderate lever addition attribute and non-mispairing period
Auxiliary Strategy 3：Select partial liability assets with strong entity logic and products designed with enough safety margin
Auxiliary Strategy 4：Lock the opportunity assets with performance beyond expectation in the encapsulation period, and deviated product design and pricing
Auxiliary Strategy 5：Agilely lock opportunity assets with extra long encapsulation period and high excess spread right
Real estate and infrastructure investment focuses on new energy PV, wind power, warehousing and logistics, data center, commercial office real estate, and long-term rental apartments.Through selecting stable and quality customers, we also have the flexibility to design the transaction structure to manage any project risks rigorously to build a well-balanced investing ecosystem in the real estate system. Up to now,the accumulated AUM of ALAN AMC’s business sector in real estate and infrastructure are about CNY 8.9 Billion.
Core advantages in the real estate and infrastructure investment field:
█ The asset cash flow is stable, with anti-inflation logic and of long-term investment value
█ The liquidity premium of assets brought by increasingly thick interests of domestic and overseas capital
█ The national policies greatly support the development of new energy field under the trend of carbon neutrality
Investment Strategies
Real estate and infrastructure investments are centered around equity investment logic, based on identifying asset value. Through collaboration with multiple parties to integrate industrial capabilities, the goal is to achieve income from property development, renovation, and short-term holding, resulting in increased asset value. Multiple exit channels are planned to form a complete investment cycle.
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Commercial office
Focusing on commercial real estate assets with improved space for rent in high-quality sections in the first-tier and core secondary cities, we launch to purchase and reconstruct real estate together with partners, and subordinated business management teams to improve property operating efficiency and realize higher asset value
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Industrial real estate
Focusing on investment opportunities in fields of warehousing logistics and data center, we have established in-depth partnership with strategic partners with perfect industrial operating capacity in relevant fields to realize return on development and operation by the investment mode of industrial fund launched jointly by multiple parties
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Infrastructure
Focusing on renewable energy projects under the trend of carbon neutrality represented by wind power and PV, we cooperate with leading enterprises in the industry to launch funds and participate in new energy investment. The assets cover distributed PV power stations and wind power. The return on investment is acquired through stable cash flow performance and asset appreciation
Equity Investment is committed to seeking out excellent start-up companies with leading technological advantages in the fields of life and health, information technology, and advanced manufacturing. Our focus is primarily on growth and mature stage project opportunities, with investment forms covering minority equity investment and controlling investment.Up to now, the current AUM of ALAN PE is CNY 5.6 billion.
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ALAN PE mainly covers growing and mature project opportunities by minority equity investment and holding investment.
Investment Stage
ALAN PE mainly covers growing and mature project opportunities by minority equity investment and holding investment.
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ALAN PE is committed to identifying outstanding entrepreneurial companies with leading technological advantages in the fields of life sciences, healthcare, information technology and advanced manufacturing.
Life health：Innovative apparatus、Medical beauty/skin care/cosmetics 、Stomatology/Ophthalmology/Orthopedics、Functional food、New medicine；
IT and advanced manufacturing：Automotive electronics、Industry digitization、Emerging consumer electronics、Industrial chain restructuring
Industrial Preference
ALAN PE is committed to identifying outstanding entrepreneurial companies with leading technological advantages in the fields of life sciences, healthcare, information technology and advanced manufacturing.
Life health：Innovative apparatus、Medical beauty/skin care/cosmetics 、Stomatology/Ophthalmology/Orthopedics、Functional food、New medicine；
IT and advanced manufacturing：Automotive electronics、Industry digitization、Emerging consumer electronics、Industrial chain restructuring
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Focus：
Top technology supporting+Track segmentation+Underlying demand trend
Target Selection:;
Core technology: Leading in China, with potential in international competition
Team allocation: Founders with entrepreneurship & technical experts who have rich experience
Business mode: products can actually solve troubles of clients; keep an eye on “pseudo-innovation” and “to VC” mode
Market prospect: Distinct and measurable demands, large market space
Technical idea: Take a half step forward; create demands by supply
Investment Strategies
Focus：
Top technology supporting+Track segmentation+Underlying demand trend
Target Selection:;
Core technology: Leading in China, with potential in international competition
Team allocation: Founders with entrepreneurship & technical experts who have rich experience
Business mode: products can actually solve troubles of clients; keep an eye on “pseudo-innovation” and “to VC” mode
Market prospect: Distinct and measurable demands, large market space
Technical idea: Take a half step forward; create demands by supply
