I Squared Capital acquires majority interest in China’s Jiaqing Water

Infrastructure investment management company I Squared Capital has acquired a majority stake in China-based Jiaqing Water through its ISQ Global Infrastructure Fund.

Located in the Jiangsu province of China, Jiaqing Water Services operates five wastewater treatment plants across the country.

The company is also building three more projects in Henan, Guangxi and Heilongjiang provinces, which will supply water to 12.9 million people.

Halcyon Capital, an existing shareholder of Jiaqing Water, is making additional investment along with the new partner.

I Squared Capital manager director James Chern told: "This investment will enable Jiaqing Water to expand existing facilities and grow into new cities with robust economic fundamentals and increasing demand for environmentally friendly wastewater treatment."

Jiaqing Water chairman Jiamei Lin said: "We are excited to partner with I Squared Capital to leverage their global operating network, particularly in the wastewater sector.

"China is focusing on improving environmental standards and protecting water resources to maintain sustainable economic growth."

With new projects in-line, the firm’s daily water treatment capacity is expected to exceed 165,000t by 2015.