Asia-Pacific PE activities continue downtrend in H1, AVCJ reports
Private equity activities in Asia-Pacific have decelerated in the first half, continuing the downtrend from last year, Tim Burroughs, editorial managing director of Asian Venture Capital Journal (AVCJ), says. The region's private equity fundraising came to US$17.3 billion between January and June, the lowest six-month level since 2009, AVCJ research shows. That is a 24.1% […]
Control Over Our Destiny
China’s CSRC recently undertook what the private equity industry has dubbed the harshest IPO approval process in history. After an eight month freeze, the CSRC suspended the IPO application of 269 companies, almost 1/3 of the 900 companies in queue. This heavy-handed approach dealt a blow to the IPO dreams of many PE firms and […]
China Private Equity Returns Plummet
HONG KONG, July 11 (Reuters) – Profits from China's private equity deals have fallen since 2007, a new industry report says, leading to a sharp decline in funds for small and mid-size companies in the world's second largest economy. China's private equity industry emerged later than its North American and European peers, but has become […]
KKR tops rivals with largest Asia fund as valuations drop
By Stephen Aldred and Michael Flaherty A record $6 billion Asia fund announced by U.S. private equity firm KKR & Co on Wednesday will be deployed at a time when an economic slowdown and emerging market sell-off has knocked the overall value of Asia Pacific corporations to historic lows. While the market volatility should offer […]
Thinking Small Begins to Yield Results
Micro firms have big role to play in creating jobs and poverty reduction You can spot them all across China in different shapes and sizes, ranging from small restaurants, hair salons and shops to a host of enterprises that make a variety of goods. Though these micro and small enterprises have been largely inconspicuous, they […]
The Rise of the Blue Collar Consumer
The Chinese economy give labor leverage – in other words, rising wages. This is resulting in a visible redistribution of wealth and an increasing number of blue-collar consumers entering the marketplace. The One Child policy has begun to take its toll on China’s labor force. Although China’s population has remained relatively stable – 1.36 billion […]
Dark Ages or Renaissance for China PE?
China’s private equity market is either going through the dark ages or a renaissance, depending on whom you ask, with advocates for both sides represented at the HKVCA China Private Equity Summit this week in Hong Kong. The deceleration of China’s economic growth and bottleneck in IPOs for mainland companies has had a knock-on effect […]
Safety First: Investing in China’s Food Supply Chain
Driven by rising disposable incomes and lower confidence in food safety, Chinese consumers are willing to pay a premium for quality. PE firms have identified the opportunity, but taking it can be difficult. Fifteen years ago, Charles Shao left his career as a technology investor in the US and returned to China to set up […]
Fraud in China ‘Too Hard’ to Detect
Discovering fraud in potential investee companies is becoming more difficult, meaning many China GPs are steering clear of take-private deals, delegates heard at the HKVCA China Summit 2013. A panel of private equity investment professionals offered words of caution over the privatisation of Chinese businesses from stock exchanges globally at the 12th China Summit organised […]
For Private Equity, Door to Deals Opens in China
Private-equity investors, long shut out from getting controlling stakes in Chinese companies, are beginning to find mainland entrepreneurs increasingly amenable to outside help. These “first-generation entrepreneurs” — people who took advantage of the liberalization of China’s economy starting in the late 1970s — began their operations on a small scale, with modest amounts of capital. […]
