Investcorp and China Everbright combine investment teams to invest in Chinese tech sector
Investcorp, a global provider and manager of alternative investment products, and China Everbright Limited, a Hong Kong based alternative investment firm in Greater China, are combining their investment teams investing in the Chinese technology sector.
The combined team and investment committee, will jointly manage the China Everbright New Economy Fund I. In addition, Investcorp and China Everbright intend to explore the opportunity to establish a successor private equity fund, jointly managed by the two parties, to further access China’s technology sector.
This joint partnership will draw on Investcorp’s three decades of experience investing globally in the technology sector, and China Everbright's deep-rooted relationships and expertise in the China market.
China is experiencing accelerated growth in the technology sector, one that has attracted the majority of private equity investment capital and we believe continues to be attractive as companies find value accretive growth through novel, nuanced or niche differentiating factors that aim to boost their competitive edge and increases their respective market share. Technology firms across the spectrum, from e-commerce and internet services, to smart retail and artificial intelligence to b2b software solutions will be considered as key targets for the team.
Hazem Ben-Gacem, Co-CEO of Investcorp, says: “This is our most significant step so far towards expanding our footprint into the fastest growing economy in the world, China, and is in line with our strategy of growing AUM through global expansion. We believe our partnership with Everbright will help grow our investments in China and specifically in the technology sector. Our success in investing in technology companies in Europe positions us favourably to be a value-add investor to growth companies in that sector. Through this partnership, we look forward to investing in tech companies that show significant potential to scale profitably and are managed by a strong management bench as part of our efforts to expand our offerings to our global client base.”
Zhao Wei, Executive Director and Chief Executive Officer of China Everbright Limited, says: “Everbright is well-positioned to take advantage of the long-term opportunities presented by changes in the global markets and to become a pioneer in Chinese cross-border investment and asset management. Standing upon the intelligent tide with the booming of intelligent infrastructures such as 5G, IoT and AI, Everbright has already proved itself to be a pioneer in the Intelligent Age. This partnership with our valued partners, Investcorp, is an important step in attracting foreign investment and brining global perspective into China’s booming technology sector. We look forward to a successful and mutually beneficial collaboration and partnership.”
Investcorp and China Everbright initiated their first collaboration in September 2018 through a fund specialising in China’s technology sector.
Investcorp has an established history of successfully investing in the European technology sector. Since 2001 the Firm has invested more than USD1.5 billion in technology businesses in the US, Europe and Asia, across several verticals including data, security, FinTech & ePayments Internet and mobility.