investors focused on the outbreak of exit survey: almost all of and issues relating to the investment sina 2009 Nian 02 Yue 21 Ri 01:48 21st Century Economic Report
this Pao Lu Yang Yang
PE “exit door” investigation
· Editor’s note left
Zhang Fan, Wu Yun-long leave, Wang Gang separation … …
movement, in the private equity industry were originally normal. Liu WI Harper, founder of Universal said, “particularly in China, this is a new industry.”
change and new industries as a pair of Shuangsheng Er, inseparable is not surprising.
however, with more than a year ago with the industry is prosperous, the frequent job-hopping is different from a month occurred in Sequoia China, KPCB, as well as other well-known Goldman Sachs Direct Investment sector PE of separation executives, almost all with some investment-related issues, although there is still unable to determine whether there is inevitable between the two links.
media from Asia to the PPG, and then to ITAT, Prince of milk and so on, mostly from the initial cloud drop cruel earth.
because the VC, PE intervention, these investment projects become “classics\But between them, who the achievements of whom, and who failed whom and who make it clearer?
as an investment, they are those who are disappointed, or weird twist of fate? However, another group of VC, PE foam try their hand been flooded with a tide of people?
“VC, PE is just one of many industries, their investors, why have a literature and art, sports figures, like the star mean?” Prosperity, however superficial, and “those who think they are stars who are most likely to trouble.” But if there were to catch up with the altar’s frustration?
PE biggest names in job-hopping busy
Zhang, Managing Director of Morgan Kerry’s analysis, the current exodus of investors, “a project in favor of a problem; the other is cast in the project not present problems, but they discovered the problem through the involvement of the board that in the future be a problem for some time, so before the outbreak of the problem has not yet gone ahead with a view to finding a relatively good under the home; there is a , that is the same GP and other partner agencies who think that this cast a bad project, it will affect the reputation of the entire team, as well as the next step in the re-financing, then went away and took him. “
2 9, Matrix Partners China Fund (Matrix Partners China) announced that KPCB (KPCB), former partners of Wu Yun-Lung (Ian Goh) formally joined the firm as a partner Jingwei venture, jointly responsible for the Fund’s investments in China within the region.
such personnel changes, will push the industry focus KPCB.
of PE as a world-renowned institution, KPCB in April 2007 through the integration of TDF Fund (TDF Capital) venture capital team in China, by the time the original SAIF Fund and the Chinese partner Joe Zhou Tracker Fund, a founding partner of KPCB China Tina Ju co-lead the team, but this joint does not last long.
2008 Nian 2 month or so, and left Joe Zhou KPCB, the same year in July, partner Hsu Chuan-sheng to manage the identity of a partner to join Matrix Partners, together with the Wu Yun-long of “exodus\Even walking three generals.
for Wu Yun-Long’s resignation, KPCB, said Wu is due to the resignation for personal reasons.
Fang Jian Wu’s exodus and PPG will be investment in projects linked. In the KPCB, PPG project has been in charge by Wu Yun-Long, Wu Yun-Long has also long served as a director of PPG.
2008 Nian, PPG in financial crisis, the lawsuit continued, Founder Liang also reported “cases escaping with money,” the news. Although Liang claimed that in the United States 100 million dollars capital injection, but PPG has never been any improvement. As an investment side, KPCB, and other institutional investors seem to have two “look Zouliao Yan.”
2 19, Ru-Ju in a telephone interview, said Wu’s departure did not evaluate the industry’s normal flow of talent, he went to the new platform will have a good chance.
the resignation of another to play a more eye-catching door events, it is Zhang Fan’s in the red cedar. Almost Jingwei Wu Yun-long venture to switch to the front and rear, Sequoia China Zhang Fan is also a founding partner of choice of departure to engage in venture philanthropy.
1 25, Sequoia Capital China Fund’s external recognition, the company founder Zhang Fan departure from the company.
the United States Sequoia Capital was founded in 1972. In September 2005, Zhang Fan and Shen Peng, as well as with the creation of Sequoia Capital Sequoia Capital China.
Since then, Sequoia China Fund in the country has gained a good reputation.
Asia, but in 2008 the media in the East Exchange delisting incident, so that China’s past aura of Sequoia affected.
Asian media have is the first Chinese companies listed in Japan, but because of the company’s founder and CEO of the illegal fund raising from within the company can not disclose financial results on time, the Asian interactive delisting last year.
, according to Asian media, public information, its Beijing-based entities, the company’s investment is single-handedly responsible for Zhang Fan, who is also a long time in the company director.
star effect on the two separation incidents since become the focus. But in fact, an iceberg floating on the surface, but 1 / 10. And above compared with PE big-separation, the investment manager’s departure has been job-hopping is common.
Fangjian sources said Goldman Sachs direct investment sector, a lot of people have gone, Morgan Stanley, a direct investment departments are responsible for people interested in leaving.
Reliable sources said, when investment ITAT and Prince Edward Morgan Stanley, an investment in milk is also head of the resignation last year, joined a separate fund, which is two away from the Goldman Sachs investors set up.
ITAT and Prince Edward milk is the investment community in 2008 broke the other cases of the two major issues.
2008 Nian, ITAT business model due to be questioned, the Hong Kong Stock Exchange listing application has been rejected. Since then, a variety of performance forgery, underwriters exit, accounting firms, “slow down” and other issues have emerged. Chinese and United Group Overseas Investment Limited, Morgan Stanley, USA Blue Mountains (China) capital, the United States and other CITADEL Investment Group for 1.2 billion U.S. dollars joint venture to make money want to be slimmer.
The Prince’s milk is because the performance reach of the gambling agreement calls for making investment fangying Alliance Investment, Morgan Stanley and Goldman Sachs became Prince’s milk holding parties, Li, founder of a pure passer-by to become honorary chairman.
Zhang, Managing Director of Morgan Kerry’s analysis, the current exodus of investors, “a project in favor of a problem; the other is cast project is currently not problems, but they are through the involvement of The Board found that the problem that for some time in the future will occur, so the problem has not yet gone before the outbreak early in order to find a home under a relatively good; There is another, that is, the same GP and other partner agencies believe that This cast a bad project, it will affect the reputation of the entire team, as well as the next step in the re-financing, then went away and took him. “
in the equity investment by such a reputation within the food industry, investment and worse case, “If there are institutions willing to accept the natural is a good thing.”
Fortunately, the situation is not such a frequent job-hopping is considered the next stage will be the norm. And Qing dynasties CEO Gavin Ni said that many people change jobs a few years ago, because at that time the market well, creating many opportunities. The number of domestic funds from a few to a few hundred. But now the overall market conditions is not good, “can not find jobs, how change?” So there’s likely to change jobs will be relatively lower. As an intermediary, they can in 3 months or even six months ago, heard about the resignation of the message.
other hand, China this round of adjustment will not be so tragic, as the West. The West mainly leveraged buyout models of governance. When the economic performance of the company fell down, but as long as a month’s pay no interest, then, was forced to declare bankruptcy. In China, an investment early VC. Early projects generally do not make money, the moment of its profit model are verified, and a truly profitable time must be pushed far back, when the melting of the money burn a new financing without success, there may be close enough. Another is the growth stage enterprises to invest in these companies are generally profitable. Although the immediate market challenges for everyone, but the risk is relatively small.
piece of the puzzle answers
other VC and PE President of the Federation, Singapore Kevin Chan, said, “I believe that people have a very comprehensive reasons for leaving.” the past, often due to personal factors, the most important obtained in the competition better treatment or want to set up their own companies. Now more often due to personal reasons such as poor performance.
Who resigned? Whether all cases to vote the wrong reasons? The reality is far from as simple assumption.
Singapore’s VC and PE President of the Federation Kevin Chan said, “I believe that people have a very comprehensive reasons for leaving.” the past, often due to personal factors, the most important thing is a competitor received better treatment or want to set up their own companies. Now more often due to personal reasons such as poor performance.
though also one of the factors, but investment failure is only one of the reasons.
into the Lunar New Year, which seems to focus on the outbreak of PE executives leave. Early February, far in the United States in order to TPG partner ZHANG Tong (Justin Chang) an official leave for personal reasons. Reporter was informed by people from the TPG, ZHANG Tong median value obtained from the oldest partner of TPG, one of its 1993 accession to TPG, in the agencies for 16 years, led the Asian emerging markets investments.
prior to October 2008, child services, small Kamen 8 years of the United States after an absence of trans-Atlantic Investment Group, General Atlantic LLC (hereinafter referred to as GA Group), joined Providence Equity Partners (Providence Equity Partners, hereinafter referred to as Providence,hair flat irons, Rhode Island) served as managing director.
Then, Walden International Lip-Bu Tan, founder and chairman also joined the United States in his capacity as CEO of the semiconductor design company Cadence.
from the 1980s to do VC’s Lip-Bu Tan, the “attention” more focused on the Cadence body, was once considered the industry benchmark bleak one.
1.
Harbourvest to find their own Philip Bilden, Managing Director, said, “As time goes on, with the funds and professionals increasingly find their own strengths, and different strategies based on their direction, stability will in turn come to. “Some people leave, only to find or have found better suited to their point.
those who are familiar with Wu Yun-Long told reporters, “Wu Yun-Long from KPCB and PPG project should be no relationship, or latitude and longitude venture will not take it.”
Wu Yun-Long and his former colleagues from Singapore, Xu Chuan-Sheng Du In fact, Wu Yun-Long as early as the second half of last year, seeking to leave the KPCB.
Wu Yun-Long in 2004 as Investment Director to join TDF, it has been five years, during which mainly focused on the Internet, media and consumer industries and other areas of investment, investment companies have successfully exit Xi-cheng media (sub – Focus Media: FMCN acquisition).
KPCB China relative to the TDF had to get out on the GIC, the investment scope is relatively broad, “New technologies, new services, new business models” are covering them. Tina Ju Qing Branch earlier in the year to participate in the forum also pointed out that through the secondary market investment in PIPE mode, they will consider them. Because “In general, foreign funds have a 15% share can be used to free investment.”
It is learned that Wu venture negotiations with the latitude and longitude for a few months, culminating in the end decided to join Matrix Partners. Jingwei venture became operational last year, one end of the first phase of its China funds, and their target companies, the Internet, wireless services, new media, life sciences, environmental technology and consumer products and services remain a target company.
the latest news, Matrix Partners China Fund recently set up offices in Shanghai, the new Wu Yun-Long will be joined at the Shanghai office, while the direction of investment or its people familiar with the TMT industry.
the following example, although not close, nor far.
Czech hung Capital (NPEA Capital), founder of Wang Gang LP departure is consistent with the discussions came to naught.
Wang Gang, a result of investment in Suntech and LDK Solar LDK a reputation in the investment community. In 2002, Wang Gang, founded NPEA investment business in China, and has been leading its investment in China. In the past few years, Wang Gang, a leading NPEA invested in China, seven cases, including Suntech, TechFaith, Switzerland, sound technology and LDK solar energy. In the seven investment, investment in all the four so far out, and get good returns.
had informed reporters in an interview, Wang Gang-led projects received investment returns of 6 to 7 times more in return.
Czech hung Capital Bank for Foreign Trade of France (Natixis) owned by institutional investors, since 1999 to invest in North Asia, and currently manages 96 million euros of assets. To date,replica omega watches, the Czech Republic, hung the capital already invested 34 companies, including Chinese companies have nine, the total amount of investment in China reached 135 million U.S. dollars. It is learned that, and LP due to the way in the new cooperation agreement could be reached, Wang Gang was officially leaves office in mid-February.
“people, know thyself.” Socrates sentence simple maxim, but doing it quite difficult. Quest for self-positioning is everyone’s right, it is inevitable in this industry to go through the process. Wu Yun-Long and Wang Gang, there are no two of which adhere to those. To those who are not before or since the end of 2007 out of Temasek Tangkui on a separate portal, raising his own funds. I understand that in August last year, set up capital of 200 million U.S. dollars of the open letter to the fund, that is, by Walden International has named a partner to raise their own, but has been identified is that the former vice president of IDG Hong-Wu Chen has been job-hopping, served as a partner in this fund.
2. Integration of the pain of
person close to Sequoia, said Zhang Fan’s departure, the Asian media is only part of the equation.
then Neil Shen said, “Every decision is to join us in the decision-making, and if one company fails, that is our common fault, and not one person’s fault.”
person close to Sequoia, said Zhang Fan’s departure, the Asian media is only part of the equation.
2005, the Sequoia Chinese team was founded, Zhang Fan and Chen Nan Peng was asked such a question, whether the team is not, and while the problems? Zhang Fan at that time the answer is, several did not, and the possibility of them “have been avoided.”
As the well-known venture capitalists, Zhang Fan is an investment capacity is very strong. Statistics show that had participated Zhang Fan invested in Baidu, the air network, segmented, and other famous NASDAQ listed companies. During his tenure at the Sequoia, Zhang Fan as a co-founder and managing partner of one of three U.S. dollars have been involved in the fund and a RMB fund the establishment and management.
Another possible reason may be, and then to leave Joe Zhou KPCB similar, “non-reciprocal structure.”
He analyzed the Sequoia staff structure in China, Zhang Fan and Chen Nan Peng removed after the two founding partners, as well as one called Skee Zhang Managing Director, as well as partner Kui Zhou. It is understood that, as the MD of the Skee Zhang stationed in Sequoia Shanghai office is Neil Shen Shanghai Jiaotong University alumni. In its current 15-person team, there are more than six people in Shanghai educational background.
3. Strengthen the value-added services
Singapore VC and PE President of the Federation Kevin Chan that LP Recently the quality of their investment will be a general increase in demand. “The next few years, GP ability to create added value, prudent investment in capacity and the continued investment in capacity will be tested.”
2009 Nian Chu, Cadence announced a news, Lip-Bu Tan will serve as its new President and Chief Executive Officer . The Lip-Bu Tan also said the next future will bring more focus into the Cadence in. This seems to the outside world sent a signal: Lip-Bu Tan of Walden will fade and even the entire VC field?
Walden International CFO Teresa Smith in the subsequent responses to the newspaper that “It is wrong to understand.” she said, Mr. Chen Liwu will also serve as the Chairman of Walden International, and as an active partner in to participate in work, he founded 20 years ago the company. He is still a Walden International Semiconductor plate “leaders as well as the central figure.”
Mr. Chen Liwu will also participate in partner of Walden International meeting to assess all potential investments in the companies he invested in a director. “Meanwhile, he also committed to promoting Walden International and our investor relations.” Teresa Smith further pointed out that “In the future, Mr. Chen will continue its presence in Asia and India’s frequent travel program.” But their concerns Work will include Walden International and Cadence 2. Lip-Bu Tan
But why choose this time to shift the focus of Cadence do? Teresa Smith said, “This is conducive to our investment,” in order to cast a sustainable value-added services business. Lip-Bu Tan further pointed out that “I have Cadence’s board of directors for nearly five years, and since last October began to take over the task of temporary offices.”
Singapore VC and PE President of the Federation Kevin Chan believes that Recently LP had the quality of investment will be a general increase in demand. “The next few years, GP ability to create added value, prudent investment in capacity and the continued investment in capacity will be tested.”
While in China and India, GP organizations have only a very short history, very little experience in , “World GP in any one place teams will take 5-8 years to mature.” Liu WI Harper, founder of Universal said that because the team mature personnel changes arising from the risk is omnipresent, and the United States, Singapore, Japan , China Taiwan are so.
“In such a market environment, we are more concerned about the sincerity of GP to communicate.” as the LP Zhang, Managing Director of Morgan Kerry, said the one hand, they vote what the status of the company emerged, GP intend to go and how; it also depends on whether there is sufficient communication within the team, the team is stable, as well as how the distribution of benefits within the team.
4. Business model of the storm
“If there is no crisis, these problems will not have to hide anymore, but now could not cover in this paper no longer has the fire.” Zhang said managing director of Morgan Kerry. If the company’s problems was due to poor market, the industry appears cycle law, LP who can understand, but if the company’s original cast is a hoax, LP were certainly can not be tolerant of.
What is (a pseudonym) recently wrapped up in their own agricultural projects, basic things that do not control the company, “not too many things to do anyway.”
2007 from its original location, he quit the media company went a fund size of more than 10 billion local agencies, was jubilant, because at that time everyone feels “PE, VC is a professional crown glowing pearl.”
But he gradually realized that this looks very bright for the industry, first of all tired, “In fact, not so easy to do\So shortly after joining, he began to try to figure out with friends and firms now an agricultural class project. If the project is tight, he also intends to come out to a full-time business.
WI Harper, founder of Liu Huanyu that “Over the past three years, the Chinese market is generally good, a lot of money into which people are infatuated with this phenomenon.” and which “lacks some of the young experience of practitioners involved,http://www.watchesair.com, resulting in problems. ”
while the global macro-economic deterioration, making VC, PE investment, many companies have developed problems, such as “business problems, the book had on the original problem, or run away so the boss.”
“If there is no crisis, these problems will have to hide anymore, but now could not cover in this paper no longer has the fire.” Zhang said managing director of Morgan Kerry. If the company’s problems was due to poor market, the industry appears cycle law, LP who can understand, but if the company’s original cast is a hoax, LP were certainly can not be tolerant of.
Softbank, Carlyle Sunco serious deficit; Carlyle 87 million U.S. dollars investment in Shandong San shareholding Austrian faced disputes; Warburg Pincus invested 100 million U.S. dollars in San Yuan Dairy milk powder incident had caught Fukui 1000 million U.S. dollars.
“This will make the GP follow-up financing problems.” Zhang said. Moreover, the “Global LP were in the allocation and deployment of investment are indeed becoming more cautious.” Harbourvest even an LP institution Philip Bilden, Managing Director, said in 2009, raising a number of new funds may fail to achieve the scale or even did not fit in to the money.
“As a result, more GP’s have had to reduce staff to reduce costs.” VC and PE President of the Federation, Singapore Kevin Chan said.
the other hand, initially by the VC, PE business to attract high-income Waiting List will opt out of the industry. As the amount of money raised to reduce, GP company can charge a management fee also will be substantially reduced. The GP is also one of the other main source of income comes from dividends, as many of the cast’s problems can not be achieved or expected earnings, dividends will naturally be less realistic.
“those who initially entered the business to make money people would be gone,” because reality does not match expectations.
In fact, in the hedge fund arena, which is an important reason for attrition.
GP wait for verification
Sequoia sent to China to the United States, another important objective is to “Look at what happened in the end?” Is the cast’s problems, or problems with the team, or the market due to competitive pressures? “They need to study, and then determine what to do next.” Zhang, Managing Director of Morgan Kerry said that this is understandable.
accompanied by the resignation of the door, is the GP mode of operation changes.
Fang Jian rumors, Sequoia China’s investment has been constrained, the U.S. headquarters in Redwood Sequoia China strengthened the control, each item must be special approval, but also sent from time to time monitor. Sequoia China, after the most praiseworthy is its full decision-making power of the project.
its project investment is clearly slowing seems to have proven this point. View Sequoia Fund’s recent investment projects in China last December 1 in Beijing, Metallurgical mill, while the second half of 2008 as a whole cast only 3 projects.
but there are also people in the trade have expressed different views, all the agencies in the second half of 2008 slowed down the pace of investment. Far as this and can not serve as the headquarters of Sequoia China are subject to evidence.
However, when newspaper reporters on this topic contact Neil Shen, the Shen is very angry and took three consecutive no change, “(and before) there is no change in the U.S. headquarters is not sent, Sequoia China still have 100% discretion. “
, according to close sources, the red cedar United States does send people to China, but” to guide “and not” oversight “business. Neil Shen is also not the case with the outside world have said, its decision-making authority “was withdrawn to a hundred percent,” but no longer have a decisive vote of the veto is still possible.
the reason, or Zhang Fan’s departure. Zhang Fan exodus of its previous investment in the company need someone to take over; and Sequoia to China’s “Gemini” Since the departure of failure Zhang Fan,replica tag heuer, “all decisions can not Neil Shen a person having the final say.” Moreover, Shen Peng
dominated by some of the investment in crises, the former co-insurance, there are many, “Litigation door\
Sequoia sent to China to the United States, another important objective is to “Look at what happened in the end?” Is the cast’s problems, or the team had a problem, or the market due to competitive pressures? “They need to study, and then determine what to do next.” Zhang, Managing Director of Morgan Kerry said that this is understandable.
an LP sources said the current domestic and overseas institutions, some several funds, “they are more or less faced a problem, whether the project or the team.”
After investigation, “or maintaining the status quo, either quit or slow down.” Kerry Morgan, managing director, said Zhang, specific adjustments would not be so fast that quit is unlikely. “Anyhow Fund has raised up, most of them have a 10-year cycle, turn off is unrealistic.”
And a wider scope of adjustment, perhaps VC, PE rational return. In addition to now realize that the “prudent, focusing on value-added services\to measure its success or failure within the pros and cons of the approach is not appropriate. ”
advertised these foreign PE investments in people the idea that investment in the implementation of the process will inevitably deviate from the runway.
Asia Media so, PPG so, Prince of milk is all about.
In fact, the business model of these enterprises are feasible at the time so far, PPG’s investment as well as the industry believe that, PPG light company’s business model has a good future.
Albert Capital Limited, Chairman Jia Hua Song forward the view that before the VC, PE “sprinkle black pepper, as investment” approach will also be abandoned. “Specialization is inevitable.”
In fact, Sequoia’s investment is that China has had to quickly known for, and their vote in the first six months of the project, covering the breadth of surprising.
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