China's Chuxin Capital hits first close on debut US dollar fund

LPs include financial services groups, family offices, and entrepreneurs, the firm said in a statement.

Founded in 2015, Chuxin currently managers two renminbi funds with a combined corpus of RMB500 million ($69.7 million). It focuses on emerging technology-empowered businesses and has invested in about 60 start-ups since inception. Portfolio companies include Tencent-backed crowdfunding platform Shuidi Huzhu, used car financing business Meili Jingrong, and Indian fintech player MoNeed.

Jiangchuan Tian, Chuxin's founder, was an investment banker at UBS before joining CITIC Capital. She said the US dollar fund represents an important milestone in that it enables the firm to offer dual currency options to entrepreneurs and support start-ups over longer holding periods.

Renminbi fundraising has dropped off significantly since April of last year after restrictions were imposed on how financial institutions participate in private equity funds. High net worth individuals and corporates have also backed away from the asset class, in part due to weakness in the public markets.

As a result, a new wave of Chinese GPs that made their names in the renminbi space are seeking to raise US dollar funds.

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• Topics
• Greater China
• Early-stage
• Technology
• GPs
• Venture
• China
• TMT