The rise of Chinese Corporate VC

27 Mar 2017

On the 23rd March, we had the pleasure of hosting a delegation of Chinese corporations who came to visit London with an aim of buying or investing in later stage UK and wider EU technology companies. Why is this significant and ground-breaking? Because we haven’t seen 18 corporations going on ‘buying and investing’ trips such as this before. This isn’t tech tourism nor a roadshow that many have seen before, this is a new world we live in and we might just be entering into a new investment and indeed exit paradigm which is led by China.

We had the pleasure of putting forward some of the most promising start-ups the UK and Europe have to offer. The selection process was rigorous with 20 Series-B companies applying, representing over $300m of investments from which only 6 companies were chosen to present.

To give you an idea of the representatives in the room, see below:

  • Fang Feihao from Ping An Financial - Chairman and CEO

  • Guo Jian from Shanghai SIIC Venture Capital CEO

  • James Y. Wong from Sinolink Securities – M&A Managing Director 

  • George Wu from Shanghai Free Trade Zone Fund Management Board Member

  • Kai Geng from Tsinghua Asset Management President (TAM Shanghai) 

    There were an additional 13 corporations with equally senior representation at the event and they had their questions primed and ready when the time came. Ping-An for example is one of the most active CVCs globally and perhaps they’re one of a handful paving the way for Chinese corporate VC. Combined assets under management for the corporate representatives is more than $845.8bn. If there’s one thing we know from the CVC industry, then it’s that a domino effect is evident when it comes to investing so it wouldn’t be a surprise if the 18 corporations that were present, will show signs of accelerated CVC activities in the upcoming years.

    The selected start-ups were:

  • On demand private jet charter

  • The best way to try clothes online

  • Next step in ECG biometric security

  • – Powering kids’ media

  • Providing global identity verification

  • – AR-based online voting 

    The presenting companies have impressive metrics and developments in the pipeline which kept the audience on their toes for the duration of the session. From a corporate perspective, notable investors in the presenting companies include Salesforce Ventures and Hays Technology Ventures among a long list of successful entrepreneurs, corporate executives and even a superstar. Now the connections have been made and it’s all about the results.

    Stay tuned for more news on this soon.