V-Capital, the corporate venture capital arm of China-based cigarette packaging materials producer Huaxi Holding, reached a RMB1.5bn ($235m) first close for a fund on Monday.
Formed in 2015, V-Capital has been conducting venture capital and mergers and transactions deals, investing alongside local governments and fund of funds.
Local government-backed funds and corporations have committed capital as limited partners, as have new and returning other investors.
The vehicle will target developers of healthcare, telecommunications, cultural services, semiconductors, IT, smart manufacturing and new energy technologies across China.
V-Capital now has about $3bn under management, and its shareholders include state-owned enterprise group Guolian Group’s Industrial Investment vehicle, Anhui JiongKong Industrial Development Fund, Wuxi HuiKai Investment Management and Federal Reserve Innovation.
Concerning the new fund, V-Capital chairman Tang Weiqing said: “Emerging strategic industries are full of imagination and will certainly change our productivity and lifestyle.
“By capturing investment opportunities in emerging sectors, V-Capital hopes to help business operators accomplish their goals and to contribute to driving industrial reform and development.” (Translated from Chinese by Global Corporate Venturing)
