SILICON DRAGON NEWS
SiliconDragonventures.com      @SiliconDragon               August 4, 2019         
Featured Events


Silicon Dragon 
NY 2019

 
VC Gary Rieschel:
"China is going to eat our lunch."  

 
Silicon Dragon 
SF 2019
Bonus:
VC Hans Tung:
"China does make Silicon Valley look sleepy."

Silicon Dragon 
London 2019

Silicon Dragon 
Shanghai

Speaking Gigs 

Rotman School
University of Toronto
 
Boston
September 13
VIP Roundtable Luncheon
(limited seating,
signed books available, Tech Titans of China)

MIT Enterprise Forum
Cambridge, MA
Hurst Lin
VC talk: Hurst Lin, DCM partner, pioneer in China's Internet and investor in several
...
NYC Club Talks (private)
Sept. 10, 18, 19, 24

China Institute
New York
September 23
..
Stanford University
Palo Alto
Oct. 2
 
NW China Council
Portland, Ore.
Oct. 7
.
Brookings Institution
US-China Business Council
Washington, DC
October 10

How To Academy
London

Conduit Club
London, 
October 23

AmCham Shanghai
November 5

Represented by 

 Join

Silicon Dragon Circle

@RFannin
@SiliconDragon

US-China Tech Cold War Leads to Funding Void, Venture Firm Splits
 ...  
China venture firms that have been investing in the U.S. for several years are restructuring because new regulations require the leading general partner in the fund to be a U.S. citizen. The new laws passed under the U.S. government agency CFIUS (the U.S Committee on Foreign Investment in the U.S.) also requires that foreign investor limited partners can't veto investment decisions and can't see non-public information. This means these foreign LPs can't hold board seats.
You can hear the full transcript here at
Wei Jiang, a venture partner at China-based ZhenFund,  (see photo with me) has recently set up his own fund, Momentor, to continue investing directly in U.S. technology startups. He sees a void in financing for investing in U.S. tech startups going to China, a good opportunity for his new fund. Read my   Forbes column. 
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IPOs
Will major IPOs be postponed and valuations drop as a result of worsening trade tensions with China?
Dan Primack of Axios explains on CNBC's Squawck Box
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Tencent-backed livestreaming platform for gamers, Douyin (most like Amazon's Twitch), began trading on Nasdaq and the biggest Wall Street debut by a Chinese company so far this year.
...
 A Chinese cloud-based robotics company, CloudMinds, has filed for an IPO on the NYSE, seeking to raise $500 million. 
... 
China's Wanda Sports went public on Nasdaq in a disappointing IPO where its shares fell 36%. 
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China prepares to allow investors to buy shares in some of the hottest Chinese startups Meituan, Xiaomi (profiled in my new book) via the Hong Kong Stock Exchange. Bloomberg
.. 
FUNDS
Threshold Ventures (previously known as DFJ) has filed to raise a $250 million. No sign of China plans since DFJ has stopped investing in the market.
 ............
Hedge fund manager Coatue is launching a $700 million fund for early venture investing, targeting new FAANGs in AI, cloud, payments. This likely means some Asia deals.  
... 
Sequoia Capital India is planning to raise an additional $200 million to add to its 6th fund, as the Indian market booms with tech startups.   
...
.. DEALS
US-based sales assistant startup Vymo raises $18 million in a second series, led by Emergence Capital with Sequoia Capital India.  
....
Sequoia-backed electric vehicle maker LeapMotor in Hangzhou raises $51 million to speed production. China's EV market is over-crowded but the opportunity to get it right is huge. There's a chapter in Tech Titans of China about how China is getting ahead in electric vehicles.
 
China's ride-hailing leader Didi (the one that beat Uber) has formed a joint venture with British Petroleum to build electric vehicle charging infrastructure in China.
Silicon Dragon will explore China-UK connections in London, at our annual forum, October 22.
You can order Tech Titans of China at Hachette UK

Rebel Foods, which operates about 250 Internet restaurants in India, has nabbed $125 million from Goldman Sachs, Coatue Management and initial investor Sequoia Capital India for the chain founded by a McKinsey consultant. The business model originated in China - Panda Selected, profiled in my new book (my prior book Startup Asia predicted this trend) and invested in by Hurst Lin of DCM, is an example.  

An Alibaba JV in India, Paytm Games, is raising $25 million.
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Pocket Aces, a Netflix of India, has raised $12.5 million from Sequoia and several local venture firms, aiming to shake up Bollywood.
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VIEWPOINT
Peter Thiel
objects to Google's AI project in China. Goes patriotic, fears military ties. NY Times.  
 
 
NOTEWORTHY
Alibaba visionary Jack Ma says the difference between Chinese and Americans is that Chinese actually do something for humanity and the world, while the U.S. say what they do is for humanity but it's actually for themselves. H/T to Matthew Brennan on Twitter. Video he posted is in Chinese with English subtitles.
  

Tech Titans of China
Pre-order on  Amazon: #1 VC Release
#1 Exports/Imports, Economics

"We need this book now" 
        "eye-opening" "must read"           
New York Times, BBC, Voice of America,
China Daily, Bloomberg TV 
                                          
  Bulk book sales, publisher contact: 
melissa.carl@hbgusa.com