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venture capital institutions and enterprises warm each other in the cold winter of the primary market

2024-09-13

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[in recent years, many equity investment institutions have proposed to become "quasi-industry investment institutions", drive investment strategies with industry research, adhere to the combination of industry and investment, and establish their own professional industry ecology through investment.]

[in the industry’s view, this round of investment in fengshi technology is a “two-way rush” between the investment institution and the investment target in building an industrial ecosystem.]

in the "cold winter" of the primary market, pe/vc investment has become more cautious, but some companies have still received financing. recently, a marine biotechnology company in qingdao received 75 million yuan in financing.

this company is fengshi (qingdao) ocean technology co., ltd. (hereinafter referred to as "fengshi technology"), and its investors include adata technology and cathay capital. previously, in december 2023, the company completed its series a strategic financing. equity investment institutions such as dachen venture capital and qiming venture partners have also invested in many companies in the fields of chips and ai foundations.

industry insiders told caixin that this year's tightening of a-share ipo policies and sluggish secondary market conditions have hindered the exit of investment institutions and caused a serious "valuation inversion" between the primary and secondary markets, making primary market financing particularly difficult. only a handful of companies have successfully obtained financing.

in the current context, what kinds of companies would pe/vc be willing to invest real money in?

a person from an equity investment institution told the reporter from china business network that current investments are more cautious and they will pay more attention to the growth potential of the invested companies. duan lanchun, managing partner of cathay capital, said that in the consumer industry, they will pay attention to the founder's own talent and whether he has insight into the market, consumer mentality and needs.