Qiming Venture Partners is seeking to raise $250 million for its second US healthcare fund, according to its SEC filing.
The first sale has not been closed, according to the filing.
DEALSTREETASIA had filed an exclusive interview In November 2018 with Gary Rieschel, founding managing partner of the Chinese venture capital firm, who had said the firm intended to raise $250-300 million for this healthcare vehicle.
Rieschel said earlier that he expected a first close for the second US healthcare fund in January and a final close in the second half of 2019. Around 60 per cent of the fund was targeted for the first close, after which Qiming US Healthcare Fund II will start investing, he had said.
In April last year, Qiming announced the close of its first US healthcare fund at $120 million, along with the $935 million US-dominated Fund VI and 2.1 billion Chinese yuan-dominated ($313.4 million) Fund V.
The firm said it had a significant overlap between China fund and US fund investors. The US fund LPs include Princeton University, MIT, Duke University, Commonfund, Hall Capital Partners, Mayo Clinic, The Dietrich Foundation and NGS Super, among others. The Chinese yuan fund LPs include Oriza FOFs, CDB Capital FOF, CICC, Xiamen C&D Corporation, Suzhou Fund, LUPU Investment and Hang Tang Wealth.
Rieschel had said in the earlier interview that healthcare investments in China were made out of Qiming’s main funds that also invested across the core IT and consumer Internet sectors.
The firm has 80 healthcare portfolio companies. Several Qiming-backed healthcare companies, both in China and the US, completed IPOs within the past 20 months, including Tellgen, AmoyDx, Berry Genomics, Zai Lab and ARMO Biosciences.
A lot of Chinese investments into US healthcare has flown into biotech, to bridge US innovation to China, which is the world’s second largest pharmaceutical market. In the first eight months of 2018, Chinese investors injected more capital into life science and biotech in the US more than they did in China, with $2.85 billion investment, according to Pitchbook.
Qiming set up its offices in the US in 2017 along with the launch of its maiden US fund. Its US healthcare portfolio include Cadent Therapeutics, Cardialen, Kezar Life Sciences, Madaket. Platelet Biogenesis and Windmill Therapeutics, among others.
Currently, Qiming manages around $4 billion in assets.