GGV Capital raises US$1.88 billion to invest in US and Chinese start-ups
- GGV’s backers in this round are mainly US-dollar based pension funds as well as family asset management firms and universities
- US-China trade war coupled with a slowing Chinese economy has made it hard for venture capital and private equity firms to raise capital
GGV Capital, the venture capital firm that invested in Chinese smartphone maker Xiaomi as well as news app and short video operator ByteDance, said on Wednesday it has secured US$1.88 billion in recent financing, one of the largest global fundraising efforts for venture capital firms so far this year.
GGV’s backers in this round are mainly US-dollar based pension funds – including the California State Teachers‘ Retirement System, Hartford Health Care and the Los Angeles County Employees Retirement Association – as well as family asset management firms and universities, including the National University of Singapore and Northwestern University, according to a statement from GGV.
The US-China trade war, coupled with a slowing Chinese economy, has made it hard for venture capital and private equity firms to raise capital.
“It is hard for everyone in this environment,” GGV managing partner Jenny Lee said in the statement.
With the new financing, GGV said it will manage 13 funds worth US$6.2 billion, focusing on both US and China investments in four main sectors – consumer new retail, internet services and social networking, business and cloud services, and cutting-edge technology.