Private equity firm Boyu Capital, whose partners include former TPG executive Mary Ma and the grandson of former China president Jiang Zemin, is planning to raise its second fund and is seeking US$1.5 billion, according to people familiar with the matter.
The firm’s first fund raised US$1 billion in 2011, receiving backing from large Asian investors such as Singapore state fund Temasek Holdings and Li Ka-shing, Asia’s wealthiest person.
Boyu will launch the fund in the second half of the year, the people say, continuing its focus on investing into Chinese companies.
In addition to Ma and Alvin Jiang, a so-called princeling because of his political ties, Boyu’s other partners are ex-Ping An Insurance executive director, Louis Cheung, and former Providence Equity Partners dealmaker, Sean Tong.
Ma’s long history of deal-making in China, together with the 50 years of professional experience she shares with Tong and Cheung, allowed Boyu to attract strong investor demand in 2011 and also in its preliminary phase for the second fund, according to people familiar with the matter.
Jiang’s political pedigree is another aspect of the firm that is attracting both money and deals, the people say.
Jiang, 28, has played a key role in at least two Boyu investments, people familiar with the matter say. These include the stake it owns in e-commerce giant, Alibaba Holdings, and its stake in Cinda Asset Management.