Morgan Stanley Private Equity Asia (MSPEA) is acquiring a minority ownership stake in China XD Plastics for $100 million. The private equity investment firm will buy redeemable convertible preferred shares, which are changeable into common stock of the Chinese company at an initial conversion price of $6.25 a unit. Holders of those shares will participate in common stock dividends on an as-converted basis. The investment by MSPEA will help China XD Plastics to grow and further enhance its production ability.

Click here for the release from PR Newswire.