China’s Yingke PE closes third USD fund to back global biomedicine startups

Shanghai, China. Source: Ralf Leineweber/Unsplash

Yingke PE, an investment firm with nearly 50 billion yuan ($7.8 billion) in total assets, has announced the final close for its third US dollar-denominated fund, which will invest in biomedicine startups.

The PE firm is also seeking to go full throttle on a dual-currency fund strategy as it eyes more global investments. The close of its third USD fund and its transition from a manager of only RMB-denominated funds to a “versatile” asset manager will help it diversify offerings and generate better returns for limited partners (LPs), said the firm’s president Lai Manying in a WeChat post.

“As entrepreneurs, startups, and capital from institutional investors are all going global as an industry trend, Yingke PE felt the necessity to participate in the global market, searching for leading startups in the biomedicine and hard technology sectors in a worldwide scope,” she said.

Shanghai-based Yingke PE, which did not reveal the size of the new vehicle, said that up to 60% of its existing LPs committed to Fund III. It intends to use the vehicle to back frontier startups in the biomedicine industry across all funding stages from angel to pre-IPO funding rounds.

Yingke PE had launched its maiden USD-denominated fund in 2019. Details of the firm’s previous two US dollar funds were not disclosed. Yingke PE did not immediately reply to DealStreetAsia’s email request for comments.

The new fund has already invested in startups such as CANbridge Pharmaceuticals, a biopharmaceutical firm that develops speciality healthcare products for orphan diseases and targeted cancers; and other assets in the online drug retail sector.

By far, Yingke PE has made dozens of investments through its USD funds into companies such as Genor Biopharma, or JHBP (CY) Holdings Limited, a developer of oncology and autoimmune drugs that raised about HK$2.7 billion ($347.8 million) in a Hong Kong listing in October 2020; biotech startup HaiHe Biopharma; Adlai Nortye, a clinical-stage firm that develops immune-oncology medicines; and Ark Biosciences, which focuses on viral infection and respiratory diseases, among others.

In total, the firm claims to have poured almost 20 billion yuan ($3.1 billion) into over 100 biomedicine enterprises through its RMB and USD funds. Nearly 60% of its portfolio firms are in the biomedicine field.

Founded in 2010, Yingke PE also focuses on investments in hard technology and new consumption areas. Backed by an LP pool largely comprised of financial institutions and Chinese state-owned enterprises, the firm has invested in more than 200 firms over the past decade, according to its website. After 15 listings in 2020, another 60 portfolio firms are currently in various stages of the IPO process.

The firm announced the close of a new RMB fund at 10 billion yuan in November 2020, after it had raised a combined 6 billion yuan across two funds earlier that year.

Yingke PE plans to file for an IPO in Hong Kong by the end of 2021, founder and CEO Qian Mingfei told DealStreetAsia last November.

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.