Vertex Ventures to raise fifth China-focused fund

Shanghai, China. Photo by Liam Li on Unsplash

Temasek-backed Vertex Ventures China has launched its fifth fund, according to an SEC filing submitted this week. The fund corpus was not disclosed.

Vertex Ventures China, which was founded in 2008 with offices in Beijing, Shanghai and Shenzhen, currently manages US dollar and renminbi funds.

In September last year, Vertex Ventures China fully closed its RMB-denominated fund at 3 billion yuan ($438 million), bringing the total size of RMB and USD-denominated funds raised by Vertex Ventures China to over 10 billion yuan ($1.5 billion). In October 2019, Vertex Ventures China had secured nearly 4 billion yuan ($584 million) in capital commitment for its USD Fund IV.

According to its website, Vertex China invests in early-stage startups in the fields of deep tech, the new digital economy and healthcare. The firm is led by Tay Choon Chong, who previously served as the senior vice president of Special Investments at Singapore’s sovereign wealth fund GIC.

The firm has invested in more than 100 companies since its inception, including unicorns such as 91, Mobike, Changba, Chipscreen, Horizon Robotics, Geek+ & IGG.

The firm has also managed to secure a number of major exits.

Its exits include Shenzhen Chipscreen Biosciences that was listed on the STAR Market in 2019, earning a 27x return multiple; IGG Inc that got listed on the HKeX in 2018 with an 11x return multiple; 91 Boyuan Wireless that was acquired by Baidu in 2013 at a $1.9 billion valuation with a 10x multiple; and Mobike (acquired by Meituan in 2018) at a $2.7 billion valuation with a 10x multiple.

Vertex China belongs to a global network of venture capital funds that sit under Vertex Holdings. This parent holding company oversees around $6 billion in assets and is backed by the likes of Temasek Holdings, Sumitomo Mitsui Banking Corp, Marubeni, ABeam Consulting, The Development Bank of Japan and other investors.

Apart from Vertex China, the firm also operates five other VC units – Vertex Israel, Vertex US, Vertex Southeast Asia and India, Vertex Growth and Vertex Healthcare.

Vertex Holdings has undertaken a number of new developments this year, such as raising a $330 million bond aimed at diversifying Vertex’s sources of capital. Earlier this year, Vertex was also reported to be a serious candidate as a Special Purpose Acquisition Vehicle (SPAC) sponsor on the Singapore Exchange (SGX). DealStreetAsia had reported last month that Vertex Holdings was looking to launch a S$200-250 million vehicle by the end of this year.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.