Chinese VCs raised record $3bn in second quarter
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According to Zero2IPO Group, an integrated service provider in the China venture capital and private equity industry, Chinese Venture Capital firms had a record $3bn to invest in the second quarter of 2008. Zero2IPO gathers its data from 300 VC firms involved in the China market.
During this quarter 29 local and foreign investment firms set up a total of 40 VC funds investing $1.2bn in local firms with IT and high-tech companies receiving more than half of the investment. Almost half the investments were of $1m or more. Thirteen major deals that involved an investment of US$20m or more comprised almost half of the total amount invested.
Of the total $3.02bn raised during Q2, $1.69bn is being controlled by 7 foreign investment funds and $1.18bn by local 31 funds. However, the average size of foreign funds $241m is considerably greater than that of a local fund $3m. The total growth in rate of investment is an astounding 73.5 percent.
