Analysis
Portfolio: Mandala Capital and EFRAC
Mandala Capital is helping Indian food and pharma testing laboratory EFRAC distinguish itself against a field of ragtag competitors. Personnel, networks, and technology are the critical inputs
Japan activists: Enablers or destabilizers?
The corporate governance scandal at Toshiba underlines the increasing influence of activist investors in Japan. For private equity firms, there are two sides to the coin
Asia secondaries: Continuation conundrum
The rapid ascent of single-asset continuation vehicles in the US and Europe might be emulated in Asia, but investors are approaching the market with measured optimism
GP profile: Hosen Capital
From renminbi funds to US dollar funds and from growth equity to buyouts, Hosen Capital has been through several evolutions in its first decade. Meeting China’s food needs remains a constant
Carried interest: Safe in Hong Kong?
Tax treatment of carried interest has been an issue of contention in Hong Kong for several years. Just when it seemed to be resolved, draft implementation guidelines are causing disquiet
China IPOs: Regulatory rumblings
China’s Star Market has seen a drop-off in IPOs as regulators call for heightened scrutiny of listing candidates – to the point of asking PE and VC investors to identify the LPs in their funds
Myanmar: Asia’s anguish
Myanmar has proven unique among Asia’s frontier markets in terms of volatility and risk. As its ongoing humanitarian and political catastrophe deepens, a sense of helplessness has taken root
China university start-ups: Campus creativity
From DJI to Ele.me, numerous successful start-ups have emerged from universities in Greater China. VC investors recognize the talent, but they are sometimes wary of the structures
Vietnam healthcare: Early days
Hospitals attract most of the capital and interest aimed at Vietnam healthcare. Macro tailwinds are benefiting other parts of the services ecosystem as well, but GPs don’t want to jump too early
Vietnam middle market: Room for maneuver
There is a perceived sweet spot in Vietnam where check sizes are too big for local GPs and too small for pan-regionals. Taking advantage means addressing structural nuances and strategic competition
Vietnam SOEs: Diverted divestments
Murky accounting and politics have rapidly decelerated the privatization of Vietnam’s government-owned companies in recent years. Private equity is biding its time and testing creative inroads
Portfolio: CDH Investments & China Grand Pharma
The contribution CDH Investments has made to China Grand Pharma belies the size of its equity interest in the company. M&A, at home and overseas, has been central to the growth strategy
India retail: Bazaar bedrock
Traditional micro-retailers continue to dominate India’s consumer economy, thriving amid COVID-19, encroaching supermarkets, and the rise of e-commerce. So, why is investing in them so hard?
GP profile: Samena Capital
Conservative yet contrarian, Samena Capital has carved its own path prioritizing patience, trust, and transparency. A younger generation of leadership is guiding entry into a new digital landscape
Asia technology: Anatomy of a rebound
Tech investment has been on a tear in Asia, with private equity joining venture capital at the party. While COVID-19 has contributed to these dynamics, the revival is rooted in deeper structural change
Asia credit fundraising: Middle muddle
Various structural tailwinds are driving the development of Asia’s middle-market private credit space. This doesn’t necessarily make it any easier to raise funds for the strategy
Mobility: Gravitational shift
The automotive industry’s VC overtures might be in retrograde, but traditional carmakers are finding new ways to make a mark in mobility innovation. This creates new dynamics for financial investors
1Q analysis: American dreams
New York makes an unexpected reappearance as the preferred IPO destination for Asian companies; the growth-stage tech investment revival continues; KKR lights up lackluster fundraising environment
Korea retail: Digital or dead?
Coupang’s bumper IPO has underlined the appeal of a Korean e-commerce industry characterized by chaebols playing catch-up and PE and VC investors looking to profit at the margins
Portfolio: GL Capital & SciClone Pharmaceuticals
GL Capital has helped China’s SciClone Pharmaceuticals position itself for the future while continuing to monetize its key legacy drug. A Hong Kong listing was the reward
Asia-Middle East: Bridge builders
Back-and-forth investment and business building between Asia and the Middle East is a fertile theme for private equity. Such activity appears set to steadily increase rather than boom
China direct lending: Creative credit
A combination of improved collateral, rising yields and robust demand is drawing investors to China’s direct lending space. Opportunities abound, but local execution remains critical
Ares & SSG: Scale proposition
The merger of Ares Management and SSG Capital is among the largest ever seen in Asian alternatives. They are now pushing into new markets and segments, leveraging the combination of size and local resources
Private equity & credit: Seeking synergies
GPs are placing greater emphasis on Asia private debt strategies to capture deals that don’t work as private equity. Much can be achieved by pooling ideas and resources, but collaboration isn’t as straightforward as it seems
