Research Report on Chinese Venture Investment Industry, 2009
In 2008, the newly raised funds in Chinese venture investment market reached to 14.55 billion USD, up by 14.6% compared with 2007. 191 organizations finished the fund raise with the average 76.1 million USD venture funds in each organization.
It was inevitably cautious for Chinese venture investment organization to invest in 2008 with the influences of international financial crisis. The venture investment amounts totaled 4.85 billion USD in the whole year in 500 projects. The investment amounts and quantities were decreased at average compared with 2007.
Because of the break-out of the international financial crisis in the latter half 2008, the amounts of the newly raised venture investment funds exceeded that in 2007, but which varied in different quarters. The newly raised funds in the former half of 2008 reached to 10.86 billion USD, accounting for 74.6% of the total amounts in the whole year, but it only accounted for 25.4% in the latter half.
In 2008, the approval of many financial capitals involved the equity investment field. The securities companies were approved to develop direct investment business; the social-security funds admitted to invest in the industry funds approved by the Reform and Development Commission and the marketization equity funds recorded in the Reform and Development Commission; the insurance organizations were admitted by the State Council to invest in the unlisted enterprise equity; the commercial banks were allowed to run merger loan businesses, extending the sources of Chinese venture investment and the private equity funds.
In 2008, with the potential influences of international financial crisis and the policy guides to expand the domestic demands issued by Chinese government, more and more venture investors broke through the previous investment concepts. They no longer cared all fields of the hi-tech industry and transferred their attentions to the traditional civil industries with the anti-periodic characteristics. In 2008, the investments in the traditional projects were about 120 with 1.42 billion USD investment amounts, accounting for 24%.
With the exhaustion of the traditional energy resources and highlights on the energy saving and the emission reduction, the investments in the energy resource and environmental protection were the focuses of the venture investment. In 2008, there were about 45 cases in Chinese energy resource and environmental protection industry, accounting for 9% of the total cases. The investment funds totaled 328 million USD. Five organizations including NewMargin Ventures and Tsing Capital etc. totally invested 50 million USD in ET Solar Group Co., Ltd for the research and exploitations of the PV System. Wuxi Qiaolian (Group) Inc., jointly invested by Avenue Capital, NPEA Capital, Acer Technology Ventures and Tsing Capital, involved 70 billion USD investment amounts for the researches and design of the wind power technologies.
With the influences of international financial crisis and worries about the economic perspectives, the international stock market was cut down greatly, some to the annual record low in the history. The stock value was slashed, leading to the investors’ losses. The successive depression in the stock market made the reduction in the financing ability and frequency of the new stock issuance, even stops. In 2008, about 150 venture investment projects exited. The average exit amounts were cut down by half.
Since 2008, the securities index in Chinese securities market had showed the declining trends. With the negative influences of the unsteady macro-economy and external sub-prime mortgage crisis and the credit loan crisis, it was hard for the enterprises to carry out the list plans or suspend the fund plan. In the whole year of 2008, 40 venture investment enterprises in China realized the first IPO in the former half. In accordance with the statistics, the total funds were 2.976 billion USD and 74.2 million USD of the average funds, down sharply compared with 2007.
Because of the depression capital market in China, the stock right transformation became the major channel to exit the venture investment. The listed quantities dropped greatly.
More following information can be obtained in this report:
- Present Situation of Chinese Venture Investment Industry
- Hot Fields of Chinese Venture Investment Industry
- Major Venture Investment Enterprises in China
- Exit Means of Chinese Venture Investment
- Influences of International Financial Crisis on Chinese Venture Investment Industry
- Prediction on the Development of Chinese Venture Investment Industry
1 OVERVIEW ON THE VENTURE INVESTMENT
1.1 Definition of the Venture Investment
1.1.1 Definition
1.1.2 Characteristics
1.1.3 Basic Features
1.2 Major Elements of the Venture Investment
1.2.1 Six Major Elements
1.2.2 Four Phases
1.3 Analysis on the Ventures of the Venture Investment
1.3.1 Technology Venture
1.3.2 Management Venture
1.3.3 Market Venture
1.3.4 Talent Venture
1.3.5 Special Venture
1.4 Analysis on the Funds of the Venture Investment
1.4.1 Functions and Issuance Methods
1.4.2 Sources
1.4.3 Development Models
1.4.4 Financing Efficiency
1.5 Overview on International Venture Investment
1.5.1 Overview
1.5.2 America
1.5.3 West Europe
1.5.4 Asia
1.5.5 Other Regions
??
2 OVERVIEW ON CHINESE VENTURE INVESTMENT INDUSTRY
2.1 Present Situation of Chinese Venture Investment Industry
2.1.1 Overview
2.1.2 Chinese Venture Investment
2.1.3 Foreign Venture Investment
2.2 Development Situation of Chinese Venture Investment Industry
2.2.1 Market Scale
2.2.2 Market Characteristics
2.3 Policy Environments of Chinese Venture Investment Industry
2.3.1 Related Regulations
2.3.2 Influences of the Policies on the Development of Chinese Venture Investment Industry
2.4 Factors Affecting Chinese Venture Investment Industry
2.4.1 Favorable Factors
2.4.2 Unfavorable Factors
2.5 Influences of International Financial Crisis on Chinese Venture Investment Industry
2.5.1 Short Term Influences
2.5.2 Medium and Long Term Influences
3 FINANCING OF CHINESE VENTURE INVESTMENT INDUSTRY
3.1 Introduction to the Major Financing Sources of Chinese Venture Investment Industry
3.1.1 Venture Capital Funds
3.1.2 Investment Banks
3.1.3 Government Loans
3.2 Financing Channels and Structures of Chinese Venture Investment Industry
3.3 Recommendations for the Financing of Chinese Venture Investment Industry
4 OPERATION MODELS OF CHINESE VENTURE INVESTMENT INDUSTRY
4.1 Introduction to the Operation Models of Chinese Venture Investment Industry
4.1.1 Securities Company
4.1.2 Private Venture Investment
4.1.3 Limited Partnership
4.1.4 Government Venture Investment
4.2 Financial Operations of Chinese Venture Investment Industry
4.2.1 Capital Formation
4.2.2 Capital Issuance
4.2.3 Capital Recovery
5 EXIT SYSTEMS OF THE VENTURE INVESTMENT
5.1 Analysis on the Exit Systems of the Venture Investment at Home and Abroad
5.1.1 Exit Systems of the Venture Investment Abroad
5.1.2 Exit Systems of the Venture Investment at Home
5.1.3 Merger Exit of the Venture Investment Companies
5.1.4 Exit Barriers in China
5.2 Exit Means of the Venture Investment
5.2.1 Establishing Offshore Holding Company and Listed Abroad
5.2.2 Domestic Stock Company Listed Abroad
5.2.3 Stock Right Transformation and Equity Exchange
5.2.4 Other Means
5.3 Obvious Shares of the Second Board
5.3.1 Relationships between the Venture Investment and the Second Board
5.3.2 Functions of the Growth Enterprise Board
5.3.3 Operations of the Growth Enterprise Board
6 MAJOR AREAS OF CHINESE VENTURE INVESTMENT INDUSTRY
6.1 Beijing
6.6.1 Overview on the Development of the Venture Investment Industry in Beijing
6.6.2 Present Development of the International Capital Investment in Beijing
6.3.3 Development Ways
6.2 Shanghai
6.3 Shenzhen
6.4 Other Areas
7 HOT FIELDS OF CHINESE VENTURE INVESTMENT INDUSTRY
7.1 Hotspots of Chinese Venture Investment Industry, 2007-2008
7.1.1 TMT
7.1.2 Non-TMT
7.2 Specific Fields of Chinese Venture Investment Industry
7.2.1 Medical Care
7.2.2 Internet
7.2.3 Education
8 INTRODUCTIONS TO THE MAJOR COMPANIES OF CHINESE VENTURE INVESTMENT INDUSTRY (ENCLOSED THE MAJOR VC DIRECTORIES IN CHINESE MARKET)
8.1 Company one
8.2 Company two
...
9 DEVELOPMENT OF CHINESE VENTURE INVESTMENT INDUSTRY
9.1 Prediction on the Perspectives of Chinese Venture Investment Industry
9.1.1 Prediction on the Scales
9.1.2 Prediction on the Investment Structure
9.1.3 Analysis on the Development Trends
9.2 Investments and Recommendations for Chinese Venture Investment Industry
9.2.1 Recommendations for the Cared Fields
9.2.2 Recommendations for the Venture Aversion
9.2.3 Recommendations for the Development
Chart Scales of Chinese Venture Investment Market, 2003-2008
Chart Total Volumes of Chinese Venture Capitals, 2003-2008
Chart Categories of Chinese Venture Investment Market
Chart Compositions of Chinese Venture Investment Market
Chart Hot Fields of Chinese Venture Investment Market
Chart Related Laws and Regulations of the Venture Investment in Chinese Market
Chart Prediction on the Scales of Chinese Venture Investment Market, 2009-2012
