Investment fund buys stake in Eurasia

A consortium of investors led by the Russia-China Investment Fund and the China-Eurasian Economic Cooperation Fund will acquire a 16.1 percent stake in Russian oilfield services firm Eurasia Drilling Company in a sign of deepening cooperation between the two countries.

The Russia-China Investment Fund is a joint fund established by sovereign wealth funds China Investment Corp of China and Russian Direct Investment Fund of Russia. The China-Eurasian Economic Cooperation Fund, backed by the Export and Import Bank of China, is an important equity investment vehicle set up by China to realize the strategic goals of the Belt and Road Initiative.

The two funds inked the investment deal on Wednesday during Russian Prime Minister Dmitry Medvedev's state visit to China. Other participants in the deal include leading investment funds from the Middle East.