This century’s “baby boomers” are in China
China’s rising consumer middle class, driven by urbanization and rising per capita consumption levels will drive global growth and analysts estimate that the effect could be greater than that of the post-war baby boomers of the west. China’s working class, aged 15-59, is expected to swell by an additional 100 million people in the next […]
Lunar 2016 Outlook Remains Positive
We started 2015 with enthusiasm for the Chinese consumer, A-shares generating 53% annualized returns, and healthy private equity performance. This year begins with severe pessimism about China’s economic transition, public markets all sharply lower, and private equity returns in question. One friend complained that his clients were demanding to know why anyone even still focuses […]
Catching the Next Wave of Consumption Driven by Policy
It has taken China more than three decades of rapid urbanization and persistent high growth rates to get to where we are today, and the Chinese economy is now entering a “new normal” that requires sustained efforts to re-balance its fundamental economic structure to focus on stable, single-digit, growth driven by the consumer. Beijing’s recently […]
Peekaboo at International Childrens Modeling Ceremony
On August 26th, Peekaboo sponsored the finals of the International Children’s Modeling Competition at the Grand Theater in Shanghai. During the show, over 150 children models wore Peekaboo clothing on the runway. The event furthered the brand’s goal of working with kids, letting them express their inner creativity and curiosity.
A Process for Delivering Strong Risk-Adjusted Returns
We believe that robust, well-governed processes are critical to source, acquire and build better businesses in China’s growing consumer market, and will allow us to generate stronger risk-adjusted returns. Our investment process follows ten-stages that emphasize timeline, control, discipline, transparency and results. We aim to leverage our resources and experience running Chinese consumer companies, monetize […]
Lunar Capital 2014: Progress to Date
We believe the coming decade will be marked by an emergence of individuality, a shift from savings toward consumption, and government policies that support the growth of a strong consumer-led economy. Managing these changes is a challenge for the consumer businesses that we target for investment. The recent slowing of growth, in addition to scarcity […]
Meet Our Manager – Luke Luan
Luke Luan COO, Little Star Brands Group With over 20 years of experience in operations and an affinity for building businesses, I chose to join Little Star Brands Group as COO to oversee the Company’s sales, merchandising and retail operations for all the brands including Yeehoo, Peekaboo and Soho Baby. Having served as COO in […]
Delivering Value Creation
Much of the discussion of our operational involvement in our portfolio revolves around growing top line revenues, controlling costs and streamlining decision making. These are goals that we must drive through deeper, more granular involvement in our companies. This month we highlight some of the areas for improvement within our businesses that have been particularly […]
Maximizing Value through Building Platforms
Platform-building is woven into Lunar’s DNA. The business that began as Linktone in 1999 subsequently gave birth to two further companies, Intrinsic and SmartPay. Together they formed the bulwark of Fund I and each of the three has now been fully exited, generating attractive returns. Another platform-building opportunity arose when we acquired Yeehoo in 2011. […]
A Solution to Stress and Succession
Stressed out sextuginarian and septuginarian entrepreneurs are saddled with succession issues, as are their quadregenriarian and quinquagenerian brethren. A 2013 survey of privately-held small- and medium-sized private enterprises conducted by Shanghai Jiaotong University found that 70% will face succession issues within the next five to ten years, and less than 20% of next-generation heirs and […]
