Shenzhen Capital hits first close on debut M&A fund

The venture capital firm said in a statement that it has received LP commitments from the likes of the Shenzhen government guidance fund, Guangdong Finance, Shenzhen Huitong Financial, Shenzhen Hongtu Haizhou Investment, and Shenzhen Qianhai Hongrui Investment. Shenzhen Capital has also invested in the fund.

Known as the Hongtu M&A Fund, the vehicle will focus on areas that benefit from broad industrial development and consumption upgrade trends in China. It is expected to help Shenzhen Capital better address the financial needs of innovative companies, expand its investment scope, and achieve greater diversification in its product offerings.

The venture capital firm was established by the Shenzhen government in 1999 and currently has more than RMB290 billion in assets under management. It primarily invests in small and medium-sized enterprises (SMEs), businesses in high-tech and emerging industries, and start-ups. As of November 2018, Shenzhen Capital had committed RMB40.7 billion to 939 companies, of which 142 have gone public.

The firm manages a wide range of investment vehicles, including commercial funds, joint venture funds, mutual funds, and government guidance funds. It has established 103 government guidance funds alone, with total assets of RMB32.9 billion.

In a separate announcement, Shenzhen Capital said it had also formed its first angel investment fund. The vehicle has raised half of the RMB500 million being targeted.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• Greater China
• Fundraising
• Renminbi fund
• GPs
• China
• Renminbi
• M&A
• Shenzhen Capital Group