Shenzhen Capital Group Investment Strategy and Portfolio

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Shenzhen Capital Group has a robust investment strategy that focuses on nurturing innovative businesses. They invest in various sectors, including technology, healthcare, and renewable energy.

Their investment portfolio is well-diversified, with a strong presence in the Chinese market. Shenzhen Capital Group has invested in over 200 companies, ranging from early-stage startups to established enterprises.

One of the key strategies of Shenzhen Capital Group is to identify and support companies with high growth potential. They look for businesses that have a strong competitive advantage and a clear path to scalability.

By investing in a wide range of industries, Shenzhen Capital Group is able to mitigate risk and maximize returns on investment. Their diversified portfolio is a key factor in their success as a venture capital firm.

Company Overview

Shenzhen Capital Group Co., Ltd. is a limited venture capital company established by the Shenzhen Government in 1999.

It has a registered capital of 4.2 billion RMB and a total AUM of 210.42 billion RMB.

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The company has a strong focus on cultivating national industries and shaping national brands.

By April 2017, SCGC had total assets of 23.07 billion RMB and net assets of 12.38 billion RMB.

SCGC primarily invests in SMEs, innovative high-tech enterprises, and emerging industries.

It covers a wide range of industries, including IT, internet, new media, biopharma, new energy, environmental protection, and more.

By the end of May 2017, SCGC ranked first based on the number of portfolio companies and listed portfolio companies.

It has a significant presence in the VC industry, with 745 portfolio companies and investments totaling 28.8 billion RMB.

121 of its portfolio companies have been listed in 16 capital markets worldwide.

SCGC has established and is managing 83 government guidance funds, totaling 19.19 billion RMB.

It has achieved excellent performances in the VC industry, ranking among the top in various VC rankings.

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Investment Strategy

Shenzhen Capital Group's investment strategy is built on a strong foundation of supporting innovative and high-growth companies. They focus on sectors such as biotechnology, information technology, and advanced manufacturing.

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Their approach is characterized by a willingness to take calculated risks, as seen in their investments in companies like Shenzhen Mindray Bio-Medical Electronics Co., Ltd. This company has experienced significant growth and has become a leading global provider of medical diagnostic equipment.

One key aspect of their strategy is the emphasis on long-term partnerships with their portfolio companies, providing them with the necessary resources and support to achieve their goals.

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Which Company Stage Does Invest?

Shenzhen Capital Group generally invests in various stages of companies, with a focus on supporting their growth. The majority of their investments are in Series A, with 148 investments in this stage.

One of the key stages they invest in is Seed, with 45 investments in this category. This shows that they are also open to supporting early-stage companies.

Their investment strategy is not limited to a single stage, as they also invest in Series B, C, D, and other stages. In fact, they have invested in 97 Series B companies, 32 Series C companies, and 15 Series D companies.

Here's a breakdown of the number of investments by stage:

This diversity in investment stages highlights the flexibility of Shenzhen Capital Group's investment strategy, which allows them to support companies at various stages of growth.

Countries of Investment

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Credit: pexels.com, Explore the captivating skyline of Shenzhen city framed within lush tree branches, capturing urban beauty.

China is a significant market for foreign investors, with a growing middle class and a large consumer market. The country has a population of over 1.4 billion people and a GDP of over $14 trillion.

Canada is a popular destination for investors due to its stable economy and favorable business environment. The country has a highly educated workforce and a strong presence of multinational companies.

The United States is a major hub for investment, with a diverse range of industries and a highly developed financial system. The country has a GDP of over $22 trillion and a population of over 330 million people.

India is a rapidly growing market for investors, with a large and young population. The country has a GDP of over $2.7 trillion and a growing middle class.

Singapore is a small but highly developed country that is a popular destination for investors due to its business-friendly environment and highly developed financial system. The country has a GDP of over $527 billion and a highly educated workforce.

Portfolio

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Shenzhen Capital Group has a diverse portfolio of companies across various sectors. One of its notable investments is in the semiconductor industry, with companies like Cloud Leopard and ASR Microelectronics.

The group has also invested in the FinTech sector, with companies like Suning Finance. In addition, it has invested in the high-tech sector, with companies like Moore Thread and Zhaoliangji.

Here's a breakdown of some of the companies in Shenzhen Capital Group's portfolio:

Unicorns in Portfolio

As we explore the portfolio of Shenzhen Capital Group, it's clear that they have invested in some exciting companies. Cloud Leopard, a manufacturer of system-on-chips for computers and peripherals, is one such example.

Their portfolio includes a range of companies across various sectors, including Semiconductors, Enterprise Applications, and FinTech. For instance, eSign offers cloud-based electronic signature software for enterprises.

Some of these companies have achieved significant milestones, such as Moore Thread, a provider of GPU accelerators, which is a Series B company founded in 2020. ASR Microelectronics, a manufacturer of modem and a baseband platform, is another notable example.

Here's a brief overview of some of the unicorns in Shenzhen Capital Group's portfolio:

These companies demonstrate the diversity and potential of Shenzhen Capital Group's portfolio.

Companies in Portfolio

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Shenzhen Capital Group has a diverse portfolio of companies across various sectors. One of the companies in their portfolio is Cloud Leopard, a manufacturer of system-on-chips for computers and peripherals.

Cloud Leopard was founded in 2020 and is based in Shenzhen. They received Series B funding in their company stage. Another company in their portfolio is eSign, a platform offering cloud-based electronic signature software for enterprises.

eSign was founded in 2002 and is based in Hangzhou. They received Series E funding in their company stage. Shenzhen Capital Group also invested in Moore Thread, a provider of GPU accelerators.

Moore Thread was founded in 2020 and is based in Beijing. They received Series B funding in their company stage. ASR Microelectronics, a manufacturer of modem and a baseband platform, is also part of their portfolio.

ASR Microelectronics was founded in 2015 and is based in Shanghai. They received Series D funding in their company stage. Suning Finance, an online platform for financial products, is another company in their portfolio.

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Suning Finance was founded in 2015 and is based in Nanjing. They received Series C funding in their company stage.

Here is a list of some of the companies in Shenzhen Capital Group's portfolio:

These companies represent a mix of sectors and stages of development, showcasing the diversity of Shenzhen Capital Group's portfolio.

Investment Details

Shenzhen Capital Group has made a significant number of investments, with a total of 1,038 deals under their belt.

Their investment portfolio is quite extensive, with a wide range of companies receiving funding.

Shenzhen Capital Group's latest investment was in AciMicro Medical as part of their Seed VC round, which took place on January 22, 2025.

Fund Information

Shenzhen Capital Group has a diverse range of funds, with 65 in total.

One of these funds, Shenzhen Venture Capital Longgang Innovation Private Equity Investment Fund, closed on July 13, 2023, with a total amount of $70.62M.

The group also manages Shenzhen Capital Group RMB Fund, which closed on June 9, 2023, with a massive $950.1M.

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The Shenzhen Qianhai Red Soil M&A Fund is another notable fund, which focuses on buyouts and acquisitions and has a total amount of $262M.

The fund's status is currently open.

Here's a quick rundown of some of the group's notable funds:

Partnerships

Shenzhen Capital Group has a few notable partnerships. Shenzhen Capital Group recently partnered with Value Partners on July 7, 2023. This partnership was announced by Alick Dong, President of Shenzhen Capital, and June Wong, CEO of Value Partners Group.

Shenzhen Capital Group has partnerships with businesses from different countries, including Hong Kong, the United Kingdom, and the United States. In the United Kingdom, Shenzhen Capital Group partnered with Lion on July 26, 2022. In the United States, Shenzhen Capital Group partnered with SOSV on February 25, 2019.

Here are the details of Shenzhen Capital Group's partnerships:

Co-Investors

Co-investors play a vital role in the success of Shenzhen Capital Group's portfolio companies. Over the past 25 years, a total of 1246 investors have co-invested in these companies.

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Oriental Fortune Capital and IDG Capital are notable co-investors, having invested in rounds before Shenzhen Capital Group. In fact, Oriental Fortune Capital has invested in 7 companies before Shenzhen Capital Group, while IDG Capital has invested in 5 companies prior to Shenzhen Capital Group's involvement.

Co-investors can bring valuable expertise and resources to the table. CICC is a top co-investor, having entered 10 companies along with Shenzhen Capital Group.

Some co-investors have a long history with Shenzhen Capital Group. Oriental Fortune Capital and IDG Capital are examples of this, having co-invested in multiple companies.

Here are some of the top co-investors of Shenzhen Capital Group:

Investors like CITIC and Goldstone Investment have also co-invested with Shenzhen Capital Group, entering 5 companies each after their initial investments.

Partners & Customers

Shenzhen Capital Group has a diverse range of partners and customers across different countries. One of their notable partnerships is with Value Partners, a Hong Kong-based company they partnered with on July 4, 2023.

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This partnership was announced by Alick Dong, President of Shenzhen Capital, and June Wong, CEO of Value Partners Group, as part of a strategic cooperation and partnership between the two companies.

Shenzhen Capital Group has also partnered with Lion, a UK-based company, on July 26, 2022. Unfortunately, the details of this partnership are not publicly available due to subscription requirements.

Another notable partnership is with SOSV, a US-based company, which was established on February 25, 2019. Like the Lion partnership, the details of this partnership are also not publicly available.

Here is a list of Shenzhen Capital Group's partners and customers:

These partnerships demonstrate Shenzhen Capital Group's commitment to working with companies from various countries and backgrounds.

Location and History

Shenzhen Capital Group is based in Shenzhen, a city located in the Guangdong Province of China. Shenzhen is a coastal city in southeastern China, situated in the Pearl River Delta.

The city has a population of over 13 million people, making it one of the most populous cities in China. Shenzhen was a small fishing village before it was designated as a Special Economic Zone (SEZ) in 1980.

The SEZ designation brought rapid economic growth and development to the city, transforming it into the thriving metropolis it is today.

Background

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SCGC was established by the Shenzhen Government in 1999. The firm is considered one of China's most active investors in hard technology. More than 200 companies in its portfolio have gone public. SCGC has been actively investing for over two decades.

Fund History

Shenzhen Capital Group has a rich fund history, with 65 funds under its umbrella. The group's funds have been active since 2017, with the Changzhou Talent Plan being one of the earliest funds.

Some of the notable funds include Shenzhen Venture Capital Longgang Innovation Private Equity Investment Fund, which closed on July 13, 2023, with an amount of $70.62M. This fund is part of a larger trend of venture capital investments in the region.

The Shenzhen Capital Group RMB Fund, which closed on June 9, 2023, is another significant fund, with a massive amount of $950.1M. This fund is a testament to the group's ability to raise large amounts of capital.

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Breathtaking view of Shenzhen city skyline surrounded by lush green mountains and dramatic clouds.
Credit: pexels.com, Breathtaking view of Shenzhen city skyline surrounded by lush green mountains and dramatic clouds.

The Shenzhen Qianhai Red Soil M&A Fund, which closed on January 4, 2019, is a buyouts and acquisitions fund with an amount of $262M. This fund is an example of the group's focus on mergers and acquisitions.

Here's a brief summary of some of the funds:

The Big Data Guidance Fund, which closed in 2017, is another fund worth mentioning, although the exact amount is not publicly disclosed.

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Headquarters Location

Our headquarters can be found at No.1066 Haide 3rd Road, Nanshan District F52, Shenzhen Capital Group Plaza.

The address is located in Shenzhen, Guangdong, 518054.

Angel Bruen

Copy Editor

Angel Bruen is a seasoned copy editor with a keen eye for detail and a passion for precision. Her expertise spans a variety of sectors, including finance and insurance, where she has honed her skills in crafting clear and concise content. Specializing in articles about Insurance Companies of Hong Kong and Financial Services Companies Established in 2013, Angel ensures that each piece she edits is not only accurate but also engaging for the reader.

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