Investment in Chinese funds plummeted to $73 million in just two funds in the second quarter of 2013, according to an article appearing on China Money Network. This amount was less than a tenth of the amount raised in the first quarter. The vast majority of the funds raised were by Envision Capital's Growth Fund II, according to the article. Investment in Chinese venture-backed companies was also down - $438 million was invested in 47 deals, with deal value down 9% from the first quarter.
Exits actually improved, albeit from pretty dismal levels. There were two venture-backed IPOs in the second quarter, up from zero in the first quarter. Also, there were nine venture-backed merger and acquisition exits in the first half of 2013, up from four in the first half of 2012.
I continue to hear from venture capitalists that the Chinese venture market is challenged, but these figures seem worse than what I'm hearing.
Link: http://www.chinamoneypodcast.com/2013/08/01/venture-capital-fundraising-plummets-in-china
Exits actually improved, albeit from pretty dismal levels. There were two venture-backed IPOs in the second quarter, up from zero in the first quarter. Also, there were nine venture-backed merger and acquisition exits in the first half of 2013, up from four in the first half of 2012.
I continue to hear from venture capitalists that the Chinese venture market is challenged, but these figures seem worse than what I'm hearing.
Link: http://www.chinamoneypodcast.com/2013/08/01/venture-capital-fundraising-plummets-in-china
