China-focused private equity firm Spring Capital Asia has held a final close of $250 million on its maiden fund, exceeding its original target of $200 million.
The fund, which held a first close on $151 million in November 2009 and reached its second close on $184 million in February this year, makes early growth capital investments in lower mid-market companies. Its primary focuses are in the sectors of clean technology, healthcare and pharmaceuticals, consumer and professional and business services.
Limited partners to Spring Capital China Fund include family offices, which account for 71 percent of the total commitments, fund of funds, pension funds and corporate investors, the firm said in a statement. Around half of the commitments are from Europe, with rest of them from Asia and the US, Vincent Chan, co-founder and CEO of Spring Capital, said in an interview.
So far around 15 percent of the fund has already been deployed, Chan continued. Investments so far include an undisclosed stake in Qingdao Wuxiao Group, a wind and electricity tower manufacturer based in Shandong Province, and a minority stake in energy-saving company Shanghai Insuring Polymer Materials for $10 million.
Founded in 2007, Spring Capital typically invests $5 million to $12 million per transaction across offices in Hong Kong, Shanghai and Suzhou.
Chan, who is currently the president of Hong Kong Venture Capital and Private Equity Association, served as the managing director and head of North Asia at JAFCO Asia from 2000 to 2007. Prior to JAFCO, Chan worked for nine years in private equity at Suez Asia, PrimePartners and HSBC Private Equity (Asia). Before that, he spent three years in Standard Chartered Asia's corporate finance division.