Hosen Capital, a China-focused private equity firm focused on the food and consumer sectors, on Thursday announced the final closing of its third US dollar fund, Hosen Private Equity III, with total capital commitments of $800 million.
In a statement, the firm said that Fund III was oversubscribed by existing and new investors including asset managers, university endowments, pension funds, sovereign wealth funds, funds of funds, family offices, and investment consultancy institutions from the Asia Pacific, Europe, North America, and South America. Its limited partners (LPs) also include global strategic corporations and investors.
In line with its prior funds, Hosen Capital plans to continue investing in buyout and growth opportunities in the food and consumer fields. It seeks to help portfolio companies accelerate their business plans and amplify growth potential, creating leaders “through buy-and-build and sector consolidation,” the firm said.
Founded in 2010, Hosen Capital is led by founding partners Alex Zhang and Chris Wang, who was previously second-in-command at China’s top feed producer New Hope Group. Backed by LPs such as Singapore state investor Temasek and Japanese trading house Mitsui & Co, Hosen Capital previously raised a $130-million and a $460-million US dollar fund, as well as RMB-denominated funds at $446 million.
By far, the firm has made investments in over 50 deals, including 10 buyouts. The aggregate revenues of its portfolio companies amount to $2.6 billion, shows its website. It has offices in Beijing, Shanghai, Chengdu, Hong Kong, and Tokyo.
In an interview with Bloomberg in April 2019, Wang said that the firm targeted to raise as much as $1 billion for the third US dollar fund. He said that the firm was actively looking to buy stakes in Asian food products in markets like Japan, South Korea, and Taiwan.
Some of Hosen Capital’s most prominent portfolio companies include hotpot chain Haidilao, infant milk producer China Feihe, hyaluronic acid (HA) and medical beauty products maker Bloomage Biotechnology, and Hong Kong-listed Chinese food delivery giant Meituan.