Wang Gongquan, a senior partner at CDH Investments, could prompt the Chinese private equity firm to have key-man discussions with investors after revealing he had eloped with Wang Qin, founder of real estate developer Jiangsu Zhongfu Investment Company.
“I have given up everything and eloped with Wang Qin,” he wrote in his Chinese language blog. “I thank everyone for their kind help for all these years and I hope everyone is happy. I’m sorry I cannot meet your expectations and trust, and I cannot explain everything. Please forgive me.”
In addition, he wrote that he didn’t care if he was condemned by the public. Chinese media reports have indicated he was already married. CDH declined to comment.
I cannot explain everything. Please forgive me.
The firm sent a letter to its limited partners saying Wang was taking some time off and that the firm’s funds were operating normally, according to a Wall Street Journal report.
It would be a problem “if it actually impacts his job and he’s leaving his fund as a result of this personal issue”, an LP was quoted as saying in the report. “He is the key icon over there.”
Since joining CDH in 2005, Wang has led the firm’s venture capital business, which focuses on early and growth stage investments in the information technology, new media, consumer product and service, healthcare, education and cleantech sectors. Currently, CDH Venture has more than $900 million of assets under management across two USD funds and one RMB fund.
The firm’s private equity business is currently in the market for a second RMB fund with a target of RMB10 billion (€1.1 billion; $1.5 billion). It reportedly expects to reach a final close in the first half of this year.