2022-03-12-GP_Bullhound-2021年第四季度亚洲投资趋势报告（英）_23页_1mb

Q4 2021 Asia Tech Investment Summary

Core Content

Q4 2021 marked a significant period of growth and activity in Asian outbound tech investment, with notable trends observed in both fundraising and M&A deals in the US and Europe.

Main Points

• Sustained Growth in Asian Outbound Tech Investment:

  • Asian investors made $46 billion in transactions into the US, a two-year high and full recovery from pandemic-related declines.
  • European tech also saw increased interest, with 66 fundraising deals, up 14% QoQ and 89% YoY.
  • SoftBank and GIC were among the most active, with several Fintech deals.

• Metaverse Frenzy Continued:

  • The metaverse sector remained a hot topic, with 64 Asian investments in the US and Europe and 49 Asian companies receiving funding.
  • Conventional financial investors like Blue Pool Capital started to allocate capital to metaverse assets.
  • A new sector called "Metaverse" was introduced for better data capture and analysis.

• Chinese Tech Looking Outwards:

  • Chinese investors increased their overseas tech investments due to uncertainties in domestic regulatory environments and public markets.
  • Q4 2021 saw a 10% QoQ increase in deal volume into Europe and the US.
  • Tencent was the most active Chinese investor, focusing on Fintech with five out of six deals targeting European fintech firms.

Key Insights

Overview of Asian Tech Transactions into Europe and the US

• Fundraising Value: US$9,305 million
• Fundraising Volume: 195 deals
• M&A Value: US$38,851 million
• M&A Volume: 15 deals

Notable Fundraising Transactions

Notable M&A Transactions

Country Analysis

• Southeast Asia emerged as the top target region for Asian investors, with a significant increase in deal volume from Q4 2020 to Q4 2021.
• India also saw a strong presence, particularly in the Fintech and Digital Commerce sectors.

Sector Trends

• Software continued to dominate in US transactions, with 53 deals in Q4 2021, representing 38.7% of the total deal volume and 51.5% of the total deal value.
• Fintech saw a notable increase in both volume and value, with 15 deals in the US and 13 in Europe.
• Digital Commerce and Metaverse were also prominent, with 6 and 40 deals respectively in the US.

European Investment Trends

• European investors showed a strong interest in Fintech and Digital Commerce in Asia, with 13 and 11 deals respectively in Q4 2021.
• The Metaverse sector gained popularity in Europe, with 10 deals in Q4 2021.
• European investment in Asia saw a shift in focus from the US to Southeast Asia and India.

US Investment Trends

• US investors continued to focus on Fintech and Software, with 54 and 53 deals respectively in Q4 2021.
• The Metaverse sector saw 39 deals, and Digital Commerce had 36 deals.
• The US fundraising volume reached a two-year high, driven by large-scale deals.

Public Comps by Sector

Large Cap Consolidators

• Tencent was the largest Asian company with a market cap of US$558,665 million and an enterprise value (EV) of US$582,217 million.
• Alibaba and Baidu also showed strong performance in terms of market cap and EV.
• The median and mean values for market cap and EV provided a benchmark for comparison.

Digital Media

• Tencent and Sea Limited were key players in the digital media sector.
• Bilibili and iQIYI also showed strong performance, with high EV to revenue and EV to EBITDA ratios.
• The metaverse and blockchain sectors were particularly active, with several companies receiving significant investments.

Summary

Q4 2021 saw a resurgence in Asian outbound tech investment, particularly in the US and Europe. The metaverse and fintech sectors were key drivers, with increased activity from both Asian and European investors. Chinese investors, led by Tencent, showed a strong preference for fintech and digital media, while Southeast Asia and India emerged as popular investment destinations. The introduction of a new metaverse sector and the dominance of software and fintech in the US highlighted the evolving landscape of tech investment in the region.