Leveraged buyouts, growth capital, angel investments, and seed funding—these private transactions take place, largely out of the public’s eye, not only in Connecticut or Silicon Valley, but also in Beijing, Shenzhen, and Shanghai.
In 2016, China’s private equity (PE) and venture capital (VC) firms raised over $70 billion, more than 20% of total such funding globally. At the same time, these firms also deployed capital to the tune of $223 billion, accounting for more than 70% of global PE/VC investments.
As late comers, these Chinese firms have rapidly grown into formidable financiers. Most Chinese PE firms are particularly interested in products and services that can be commercialized and scaled up quickly in China. They tend to invest in areas that align with China’s shift to a more consumer-driven economy. Meanwhile, Chinese VCs have been active players globally, particularly in Silicon Valley. They have focused on areas such as artificial intelligence, Internet of Things, and electric vehicles.
Baring Private Equity Asia was founded in Hong Kong in 1997 and today has $10 billion assets under management. The firm runs a pan-Asian investment program, which funds buyouts and provides growth capital to companies. It has invested in over 70 companies and operates six offices across Asia.
Jean Eric Salata
Beijing: (010) 5904.7300; Hong Kong: (852) 2843.9300; Shanghai: (021) 3135.9500
In October 2016, Baring Private Equity Asia, along with Onex Corp, acquired Thomson Reuters for $3.55 billion. Based in New York, Thomson Reuters is a global media and information company.
In October 2015, Baring Private Equity Asia acquired a majority stake in Vistra Group. Headquartered in Hong Kong, Vistra Group provides fiduciary and administrative services to global clients.