Vision Plus Capital on Wednesday announced the first closing of its third fund at over $400 million, bringing the total capital managed by the Chinese dual-currency venture capital firm to more than $1.2 billion.
Hangzhou-based Vision Plus Capital, which has over 100 portfolio companies, attracted capital injections from sovereign wealth funds, technology companies, international pension funds, fund of funds (FOFs), and family offices. It aims to close the third fund at over $450 million, said the company in a WeChat post.
Previously focused on startups at Series A and B round, Vision Plus Capital intends to expand the investment scope for the third vehicle to also cover growth-stage companies after Series C round as it attempts to “further enhance its comprehensive competitiveness in the market.”
The third fund comes less than two years after the company closed the predecessor fund, Vision Plus Capital Fund II, at more than $500 million in May 2018.
Vision Plus Capital was established in August 2015 by Eddie Wu Yongming, one of the co-founders of Chinese e-commerce giant Alibaba. The company mainly makes investments in the fields of new consumption, corporate services, digital healthcare, and advanced technologies.
Some of its prominent portfolio companies include Chinese elevator-ad unicorn Xinchao Media, electric vehicle maker CHJ Automotive, speech recognition major AI Speech, fresh produce delivery platform Missfresh, and Danke Apartment, which is listed on the New York Stock Exchange (NYSE) under the name “Phoenix Tree Holdings Limited.”
“Although the current macroeconomic condition is volatile and the capital market is undergoing the impact of multiple factors including the coronavirus epidemic, we firmly believe in the long-term development potential of China’s overall digital economy,” said Wu, founder, partner and chairman of Vision Plus Capital, in the post. “The new fund, once closed, will continue to invest in the Chinese innovative technology industry.”
“We believe that the penetration of the digital economy will be strengthened after the epidemic is contained. More consumers and corporates will further embrace the internet innovation,” said Wu. “The reconstruction and digitalization across all walks of life will bring more entrepreneurial and investment opportunities.”