The Year of the Rooster
The most important event of the first quarter for our team was the Chinese New Year Spring Festival. The year of the Rooster symbolizes fidelity and punctuality, with its early morning crowing perceived as a call to action – urging us to roll up our sleeves and get to work. The holiday also rings in […]
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 […]
The Mobility of Consumption
Mobile “on the go” shopping in China is becoming the norm – from researching products and discussing with friends to purchasing with a swipe of the finger. Mobile shopping is changing the way customers discover, research and ultimately buy products in China, primarily through 1) providing tools to conduct research while in-store, 2) creating robust […]
Lunar Capital Update: Achievements in 2014
Our achievements in 2014 continue to serve as a validation of our thesis, strategy and commitment to consumer-focused, operationally-intensive, control-oriented investments in China. Our most recent fund, Lunar Capital Partners-III, is now fully invested with strong prospects for further valuation gains and distributions. Our apparel investment, Yeehoo, ended 2014 with revenue and earnings up significantly, […]
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 […]
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 […]
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. […]
Burgeoning Bourgeois
The Chinese government has delivered on its promise of creating wealth for the masses, giving consumers purchasing power unimaginable even a decade ago. A recent study by McKinsey stated that the number of upper-middle class households with income between RMB 106,000 and RMB 229,000, has grown from 6% of urban household in 2010 to 14% […]
Meet Our Managers – Jerry Mao
Jerry Mao Partner at Lunar Capital In many ways, Lunar is a boutique, and has not had the privileges associated with buying a large firm over the past few years. We chose not to focus simply on fundraising and growing our AUM, but rather took on the challenge of differentiating through our unique focus on […]
