Sequoia Capital’s China affiliate has pulled in $9 billion in fresh capital to back the country’s tech companies across all stages, The Information first reported.
The raise arrived at a time when global investors are reevaluating risks in China amid a COVID-hit economy and an ongoing regulatory crackdown on the country’s internet upstarts.
The fresh capital came from pensions, endowment funds and family offices from the U.S., Europe, the Middle East and Southeast Asia, Bloomberg reported. The firm received more than $12 billion in a 50% oversubscribed round, but went ahead with the higher end of its original target, according to a person with knowledge.
With the new financial injection, the firm will continue to bet on Chinese companies focused on deep tech, healthcare and consumer tech, according to SEC filings. The capital will be allocated to four separate funds targeting businesses across all stages –from seed, venture and growth to “expansion”, which are those deemed market leaders in an industry.
The storied investment powerhouse has funded over 900 companies in China, including household names like Pinduoduo and Meituan, since it launched under Neil Shen’s helm in 2005.
Sequoia Capital China declined to comment.