2018-中国创投暨私募股权投资市场2011年第一季度市场回顾英文版_56页_1mb

China VC/PE Market Review 2011 Q1 Summary

Core Content

This report provides a detailed analysis of the performance of China's venture capital (VC), private equity (PE), mergers and acquisitions (M&A), and enterprise IPO markets in the first quarter of 2011. It includes key metrics, industry and geographic distribution, and highlights leading firms in both domestic and international VC/PE sectors.

Main Points

VC Market Overview

• Fundraising Trends: The number of new VC funds decreased by 9.4% YoY, while the total fundraising amount increased by 63.1%. RMB funds dominated the market with a significant improvement in the average fundraising scale.
• Investment Trends: The number of investment deals increased by 39.8% YoY, and the investment amount surged by 95.0%.
• Industry Breakdown: The Internet sector led in investment deals, while the energy and mineral industry had the highest investment amount.
• Geographic Distribution: Beijing was the top region for investment activity, while Shanghai led in investment amount. Mid-western regions like Xinjiang and Inner Mongolia showed better performance.

PE Market Overview

• Fundraising Trends: The number of new PE funds increased by 38.9%, and the total fundraising amount rose by 203.9%. USD funds outperformed RMB funds in fundraising amount.
• Investment Trends: The number of investment deals increased by 1.4%, and the investment amount increased by 0.2%.
• Industry Breakdown: Machinery manufacturing and Internet sectors were the top performers in terms of the number of deals, while energy and mineral had the highest investment amount.
• Geographic Distribution: The investment amount was concentrated in major cities, with Shanghai leading in investment amount for the first time.

M&A Market Overview

• Activity Trends: The number of M&A deals increased by 176.5% YoY, and the investment amount surged by 526.9%.
• Industry Breakdown: Telecom & value-added services and Internet sectors had the most M&A deals (6 each), while energy and mineral had the highest investment amount (US$3.147B).
• Performance: The average investment amount per deal was significantly higher in the M&A market compared to the previous year, indicating a shift in investment strategy due to increased competition in the IPO market.

IPO Market Overview

• Domestic IPOs: The number of domestic IPOs decreased by 25.0% YoY, but the financing amount increased by 17.2%. The Shanghai Stock Exchange had the highest average return on book value.
• Overseas IPOs: The number of overseas IPOs increased by 32.3% YoY, and the financing amount increased by 42.1%. The NYSE had the highest average return on book value, while the HKMB had the lowest.
• Overall Performance: The average return on book value for all IPOs was 29.84 times, with the Shanghai Stock Exchange contributing significantly to this figure due to Sinovel Wind Group Co., Ltd.'s IPO.

Key Information

Investment Distribution by Currency

• VC Market: 232 deals, with 1,928 million USD in investment amount.
• PE Market: 75 deals, with 1,966 million USD in investment amount.

Investment Distribution by Industry

• VC Market:
  • Internet sector had the most deals (16).
  • Energy & Mineral had the highest investment amount (US$4,417.12M).
• PE Market:
  • Energy & Mineral had the highest investment amount (US$3,147.00M).
  • Telecom & value-added services and Internet had the most deals (6 each).

Investment Distribution by Geographic Region

• VC Market:
  • Beijing had the most investment deals.
  • Shanghai had the highest investment amount.
• PE Market:
  • Investment amount was concentrated in major cities, with Shanghai leading for the first time.

Exit Performance

• VC/PE Exits: 118 exits, with 93% being IPOs, indicating a strong focus on IPO as an exit strategy.
• Average Return on Book Value: The average return on book value for VC/PE-backed IPOs was 29.84 times, with the Shanghai Stock Exchange having the highest returns.

Leading Firms

Top 50 VC Firms of the Year 2010

• Domestic:
  • SHENZHEN CAPITAL GROUP CO.,LTD. ranked first.
  • The list includes both domestic and foreign VC firms, with rankings based on performance and alphabetical order for the latter half.
• Foreign:
  • Sequoia Capital China ranked first.
  • The list includes notable foreign VC firms such as IDG Capital Partners, SAIF Partners, and Kleiner Perkins Caufield & Byers China.

Top 30 PE Firms of the Year 2010

• Domestic:
  • CCBI ranked first.
  • The list includes both domestic and foreign PE firms, with rankings based on performance and alphabetical order for the latter half.
• Foreign:
  • The Carlyle Group, LLC. ranked first.
  • The list includes leading foreign PE firms such as The Goldman Sachs Group Principal Investment Area and The Blackstone Group.

Conclusion

The first quarter of 2011 saw a strong performance in China's VC and PE markets, with significant growth in fundraising and investment activity. The shift in investment strategies, particularly towards M&A, was influenced by the competitive IPO market. The Internet and energy sectors were prominent in both VC and PE investments, with Beijing and Shanghai leading in investment activity and amount respectively. The report also highlights the importance of IPO as an exit strategy, with notable returns observed in the Shanghai Stock Exchange.