SummitView Capital has launched a $1.7 billion private equity fund with the Shanghai government. The focus is on China’s semiconductor market. The pool’s anchor investors include the Shanghai Science & Technology Investment Corp., Shanghai Jiading Investment Management Corp. and Semiconductor Manufacturing International Corp.
SAN FRANCISCO, CA–(Marketwired – Nov 25, 2014) – SummitView Capital announced the opening of a new ¥10 billion RMB ($1.7 billion USD) private equity fund and a strategic collaboration with the Shanghai government in cooperation with the China National Fund. The signing ceremony took place on November 24th and was chaired by Shanghai’s vice mayor, Mr. Ai Baojun, and the vice secretary of the Shanghai government, Mr. Dai Haibo.
The fund enables SummitView to acquire global semiconductor design companies and help them expand their market share in China by increasing sales, marketing activities, support and engineering, while nurturing an atmosphere of international cooperation. SummitView will assist newly acquired companies to take advantage of this unique opportunity. The acquired entities will maintain their operations, research and development activities worldwide.
In addition to the initial funding, SummitView Capital has also signed agreements with China Development Bank, Bank of Shanghai, Shanghai Pudong Development Bank, China Merchant Bank and Bank of China to secure debt financing for its operations of ¥30 billion ($5 billion USD).
The fund is headquartered in Shanghai with offices in Beijing and San Francisco. The anchor investors of the fund include the Shanghai Science & Technology Investment Corporation, Shanghai Jiading Investment Management Corporation, Semiconductor Manufacturing International Corporation (SMIC), MediaTek Corporation and Tsinghua Holdings Corporation.
The General Partners of the new fund together represent 60 years of combined international CEO experience including a US IPO, four sell side M&As and 20 buy side M&As. The partners have worked together since 2007 and have operated multinational business and investment funds.
About SummitView Capital
Founded in 2010, SummitView Capital is one of the most technology-focused investment funds in China, which consumes 60 percent of the world’s semiconductor production. Since its inception, it has been active in the semiconductor industry, investing in most of the major upcoming semiconductor companies in China.