On 23 December 2019, the Ministry of Science and Technology and the Ministry of Finance officially announced the establishment of nine new Venture Capital guidance funds under the National Fund for Technology Transfer and Commercialisation (thus they are officially referred to as ‘sub-funds’). The nine guidance/sub-funds will have a scale of 10.93 billion RMB, around one-third of which to be allocated by the central government’s finance.
|Name||Registered in||Scale (RMB)||Focus industry||Management firm|
|Hunan Bochuang Kejian Industry Investment Limited Partnership
|Hunan province||2.5 billion||Biopharma||Beijing Bowei Investment Management Co., Ltd
|Heilongjiang Keli Beifang Investment Limited Partnership
|Heilongjiang province||1.6 billion||Electronics, aviation and aerospace, new materials, energy-saving and clean tech, biopharma||Harbin Keli Venture Capital Investment Management Co., Ltd
|Xiamen Saifu Jinzuan Equity Investment Limited Partnership
|Fujian province||531.32 million||Information technologies, advanced manufacturing||Xiamen Saifu Jinwan Equity Investment Management Co., Ltd
|Guangxi Huaqing Huahe Investment Limited Partnership
|Guangxi province||400 million||High-tech services, information technologies||Guangxi Huaqing Huashi Investment Management Co., Ltd
|Liaoning Zhongtian Sci-tech VC Limited Partnership
|Liaoning province||220 million||Energy-saving and clean technologies, advanced manufacturing||Zhongtianliao VC Management Co., Ltd
|Beijing Yuanjing Investment Fund Limited Partnership
|Beijing||2 billion||Advanced manufacturing, information technologies, new energy technologies||Beijing Rongyi Investment Management Co., Ltd
|Ningbo gaoling Equity Investment Limited Partnership
|Zhejiang province||2.8 billion||Biopharma, information technologies||Gaoneng Tianhui Venture Capital Co., Ltd.
|Jinan Tongke Shenghua VC Limited Partnership
|Shandong province||510 million||Information technologies, biopharma, advanced manufacturing, new materials||Shandong Tongke Shenhua Equity Investment Management Co., Ltd
|Fujian Yangming VC Limited Partnership
|Fujian province||375 million||Biopharma, information technologies, advanced manufacturing, new materials||Fujian Jinjun Venture Capital Co., Ltd
Note: unlike other VC guidance funds/sub-funds previously approved, contact details are not provided in the original announcement in Chinese.
Selected through public bidding to MOST and MOF, VC guidance/sub-funds are the main medium through which the National Fund for Technology Transfer and Commercialisation (NFTTC) operates. The NFTTC Fund supports the transfer and commercialisation of scientific results achieved under national and local government funding projects. At least 50% of the total investments should be done in enterprises legally registered in mainland China and which focus on the commercialisation of results included in the National S&T Achievement Database. Other means of support of the NFTTC Fund include credit risk compensations to banks issuing loans to tech start-ups; and performance awards.
A total of 29 VC guidance/sub-funds have been established since the creation of the NFTTC Fund in 2015, reaching a scale of 41 billion RMB (around one-third of the sub-funds’ capital comes from the central government). These are all registered as limited partnerships, and managed by a professional managing firm. Although registered and based in certain regions, guidance/sub-funds can invest anywhere in China without geographical restrictions.
A detailed list of all the guidance/sub-funds established, including of their shareholders and daily management firm (and in some cases contact details), as well as of opportunities for international actors, is included in the ‘Technology Innovation Guiding Fund’ section of this website.