AAA Legend Capital to operate third healthcare fund

Legend Capital to operate third healthcare fund

Legend Capital, the China-based venture capital firm formed by conglomerate Legend Holdings, has closed its third healthcare-focused fund at RMB1bn ($157m), China Money Network reported today, citing Legend Capital’s WeChat account.

Founded in 2001, Legend Capital oversees multiple dollar and renminbi-denominated funds, with a total of some $5.5bn under management. The latest fund will be its second RMB-denominated healthcare fund, in addition to a $250m dollar fund closed in 2016.

The fund will make early and later-stage investments in technologies such as advanced medicines and precision healthcare, genomics, medical devices and diagnostics systems.

Notable healthcare investments made by the firm include medical technology producer WuXi AppTec, which has a current market capitalisation of more than $12.5bn, genetic testing services provider Berry Genomics and women and children’s hospital AmCare.

Wang Junfeng, the Legend Capital managing director in charge of its healthcare investments, was quoted by China Money Network as saying: “Investments in the medical industry tend to have long business cycle and slow growth.

“Many investors are tempted to get involved, but are also afraid of getting hurt. Experienced investors do well in portfolio management and balance their investments in drugs, medical devices, diagnostics technologies and medical services.”

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