HONG KONG -(Dow Jones)- NPEA Capital is preparing to launch NPE China Fund II, a US$200-million private equity fund that will focus on investments in China, a senior executive familiar with the company's operations said Wednesday.

This is the second fund for NPEA Capital, which has invested US$115 million in greater China since 2000, but will be the firm's first fund that is open to limited partners other than Natixis, a French bank.

Natixis Private Equity will be the sponsor and anchor investor in the new fund, said the executive who declined to be named.

NPEA Capital will continue to focus on growth capital investments in China. In 2006, the firm invested US$23 million in LDK Solar Co. (NYSE:LDK) (LDK), a Chinese silicon solar wafer maker. It has also invested in Suntech Power Holdings Co. (NYSE:STP) (STP).

-By Ellen Sheng, Dow Jones Newswires; 852-2832-2336; ellen.sheng@dowjones.com

    (END) Dow Jones Newswires   05-14-08 0204   Copyright (c) 2008 Dow Jones & Company, Inc.