Russian Direct Investment Fund, CITIC Merchant, Renaissance Capital and Onexim Group create strategic partnership within the framework of Russia-China Investment Bank

Press release, 17.12.2015

Beijing, December 17, 2015 - Russian Direct Investment Fund (RDIF), Renaissance Capital, Onexim Group, and CITIC Merchant, a merchant banking arm of CITIC Group, China's leading financial conglomerate, have agreed to establish a strategic partnership on the basis of the Russia-China Investment Bank (RCIB) and Renaissance Capital to promote the interests of Russian companies and Chinese investors in high-opportunity projects in Russia, the CIS, the Middle East and Africa. The signing ceremony was held as part of the visit to China of the Russian Prime Minister Dmitry Medvedev.

The current partnership will facilitate access to debt and equity financing from China for Russian businesses in the framework of the One Belt-One Road initiative, aimed at strengthening the integration processes in the Eurasian economic space through the construction of an infrastructure belt along the route of the historic Silk Road from China to Europe.

The parties have agreed to further expand the partnership through various joint investment and advisory initiatives. By bringing in Renaissance Capital’s expertise the parties will significantly boost the capabilities of the Russia-China Investment Bank being developed by RDIF and CITIC Merchant. RCIB will focus on the strategic aspects of the Russian-Chinese cooperation.

Kirill Dmitriev, CEO, Russian Direct Investment Fund (RDIF),said:

"The current agreement with the Chinese partners will enhance cooperation through the exchange of international best practices, as well as industry and local expertise. This model of cooperation will significantly reduce the cost of borrowing in China for the Russian corporate sector, and simplify the operation of the Russia-China Investment Bank being created by the Russian Direct Investment Fund and CITIC Merchant."

Eric Bin Huang, President, CITIC Merchant,said:

"We are delighted that following our agreement with RDIF in May 2015, for the formation of RCIB that we are now complimenting this with an alliance with Renaissance Capital. Renaissance will not only accelerate RCIB's capabilities in Russia, but its preeminent expertise in frontier and emerging markets, opens the door to a much broader global alliance. Many of our targeted markets are critical to transforming China's strategic initiatives in the historic “Silk Road”. And we are positioning our Sino Russia cooperation in Hong Kong, which has a unique role to play, both as an international financial center, and yet a home market for ourselves. Looking forward, we hope that all parties will draw upon resources to cater to the needs and circumstances of China-Russia related projects on the global basis through a combination of financial capabilities and industrial expertise. "

Igor Vayn, CEO, Renaissance Capital, commented:

"I am pleased we have reached an agreement on partnership with the leading financial institutions of China. This partnership creates unprecedented opportunities, including attracting long-term investments from China to Russia, to facilitating additional sources of capital in our respective geographies – from Nigeria to Kenya, Middle East to North Africa and Central Asia. Participation and support of major Chinese financial institutions such as CITIC Merchant and China Development Bank gives us ground to expect that this partnership will be implemented around high-opportunity projects in various sectors of economy using Renaissance Capital’s global reach based on the new Silk Road initiative."

Dmitry Razumov, CEO, ONEXIM Group, said:

"We welcome the agreement on joint cooperation among the strongest institutions in China and Russia. The presence of Renaissance Capital, a leading investment bank in emerging and frontier markets, in this partnership will create synergies and enable the participants to use the available advantages to integrate into projects led by Chinese companies, as well as to facilitate development of the financing and advisory services."

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Russian Direct Investment Fund (RDIF)was established in 2011 to make equity co-investments, primarily in Russia alongside reputable international financial and strategic investors. RDIF acts as a catalyst for direct investment in the Russian economy. RDIF’s management company is based in Moscow. Further information atwww.rdif.ru

CITIC Merchant (CM),headquartered in Hong Kong, is a wholesale merchant banking business unit of the CITIC Group. By leveraging on the CITIC Group’s corporate resources and financial network, CM is uniquely positioned to provide total solution in facilitating China's "going-out globally"  policy and the recent "one-belt - one road" strategy. CM is principally engaged in the provision of corporate advisory service and related investment and asset management services on a cross-border and cross-market basis, with a focus on strategic industries including global energy & resources acquisition, advanced technology, overseas EPC/ financing, and promotion of export of capital goods.

Renaissance Capital is a leading emerging and frontier markets investment bank focused on Russia, the CIS, Central and Eastern Europe, Middle East, Asia and Africa. The Firm also offers its clients access to these markets through such financial centers as London and New York. Renaissance Capital trades 43 markets has market-leading positions in each of its core businesses – M&A, equity and debt capital markets, securities sales and trading, research, and derivatives. The Firm is building a strong practice across emerging markets globally in fixed income, currencies & commodities (FICC). Renaissance Capital is part of ONEXIM Group. www.rencap.com/eng/

ONEXIM Group is one of the largest private investment funds in Russia, focusing on investments in metals and mining, financial services, media, real estate, utilities, and innovative technology projects. www.onexim.org

For additional information contact:

Maria Medvedeva
Russian Direct Investment Fund
Director, Media Relations Department
Tel: +7 495 644 34 14, ext. 2141
Mobile: +7 964 726 17 73
E-mail:
mm@rdif.ru

Andrew Hayes / Elena Garside/ Joseph Burgess
Hudson Sandler
Tel: +44 (0) 20 7796 4133

Daria Khilenkova
Head of Communications
Renaissance Capital
Tel +7 (495) 258-7770 x7512
Mobile +7 (916) 805 4926
DKhilenkova@rencap.com