Chinese venture capital firm Shunwei Capital is targeting the initial public offering (IPO) of four of its portfolio companies this year in the US and China markets, according to its founding partner and CEO Tuck Lye Koh.
At the DealStreetAsia Indonesia PE-VC Summit 2020 in Jakarta Wednesday, Tuck said three of the listings will be in the US while the other one, that of Chinese tech firm Roborock, has already been approved for listing on Shanghai’s Nasdaq-style tech board.
Roborock, established in 2014, is known for manufacturing robotic vacuum cleaners. It designs and develops a series of robotic vacuum cleaners under its own Roborock brand.
Tuck did not disclose the information about the three other Shunwei portfolio companies that will seek listings in the US but said the application process is already in the advanced stage, with bankers already being engaged.
“The overall 2019 capital market has substantially outperformed our expectations… in 2020, we should see something similar maybe not really bullish but the IPO window should continue to exist,” Tuck said.
Shunwei Capital, which has invested in 400 companies, with 22 unicorns under its portfolio, has already made nine IPOs so far. The firm, founded by Xiaomi founder Lei Jun and Tuck, has total assets under management of $3 billion.
The firm last raised $1.21 billion for Fund IV in 2018, deploying capital in China, India, and to some extent, Indonesia. The fund attracted investors from the US, the Middle East, and Asia, including endowment funds, sovereign wealth funds, charitable foundations, and family offices.
The fund’s target sectors include mobile internet, consumer IoT, deep tech, and robotics. It also looks at internet-dependent firms in media and social commerce, among others.
In India, Shunwei has done at least 16 deals, making the country its second most important base after China. Among its portfolio companies in India are Krazybee, India’s first online installment store for students; Cashify, an online platform to sell old and used mobile phones; and Pratilipi, a platform to read and write stories.
Tuck was one of the speakers in DealStreetAsia’s Indonesia PE-VC Summit 2020 in Jakarta, tackling the topic “Replicating the China playbook in India and Indonesia”.