Chinese Firm HSG Leads Bid for Leica Camera Stake

HongShan Capital Group (HSG), a private equity firm from China, is positioned as a frontrunner in the bid to acquire Blackstone Inc.'s 45% share in Leica Camera AG, with the possibility of also obtaining the 55% stake owned by Austrian billionaire Andreas Kaufmann. HSG, which was previously the China division of Sequoia Capital, oversees approximately $56 billion in assets. Leica's worth might hit €1 billion ($1.165 billion). Kaufmann acquired 95% of Leica for $85 million in 2004, sold 45% to Blackstone for $179 million in 2011, and privatized the company in 2012. Sources from Bloomberg indicate that no agreement is assured, and both HSG and Blackstone have refrained from commenting. Should Kaufmann proceed with a sale, he could reinvest to retain his influence, as his wife, Karin Rehn-Kaufmann, is the Art Director for Leica Galleries International. This potential transaction would align with a trend of Chinese firms acquiring European brands, similar to DJI's acquisition of Hasselblad in 2017.