Unicorn Capital Partners, a China-focussed venture capital firm, has closed its debut fund at about $210 million.
The fund will act as a fund-of-funds, i.e., it will invest in venture fund managers who in turn will fund startups, said a report in the China Money Network.
The Hong Kong-based firm is led by Kah Fai Low, a former director at Singapore-based Eagle Asia Partners, and Tommy Yip, a former partner and head of North Asia for private equity fund-of-funds manager Emerald Hill Capital Partners.
The aim of the fund is to invest only in potential unicorns, or startups that are worth over a billion dollars.
The term ‘unicorn’ was coined by Cowboy Ventures founder Aileen Lee in a Novenmber 2013 post. At that time, there were 39 of such startups, all of them US-based software companies founded after 2003.
More than two-and-half years later, there are more than 160 unicorns around the world with a cumulative valuation of $564 billion.
The most valuable among them is Uber, the ride-hailing app that raised about $8 billion at a valuation of $62 billion.
Yip left Emerald Hill in January 2015 to start Unicorn Capital. The firm backs emerging venture capital funds that invest in technology startups with the potential to become unicorns.
Before becoming an investor, Yip was vice president of research at Asian Venture Capital Journal.