China-focused private equity firm Hony Capital has agreed to acquire a 12.4 percent stake in Hong Kong-listed hotel company Shanghai Jin Jiang International Hotels Development for RMB15 billion (approximately US$243 million). Hony will buy 100 million shares in Shanghai Jin Jiang at RMB15 (approximately US$2.43) apiece. The price represents a 23 percent discount to the company's 28 August closing price of RMB19.6 (approximately US$3.17). Shanghai Jin Jiang intends to use the proceeds from the transaction to scale the business and develop outlets of select service hotels over the next three years.