Tel: (852) 2295-0300 | Email: info@scequity.com.hk


we invest in growth

INVESTMENT STRATEGY

SCEA targets direct investment opportunities in the Greater China and the Asia Pacific region, currently the most dynamic and the fastest growing areas in the world economy. We capitalize on the GDP growth of these countries which provide substantial investment opportunities.

We invest in both ventures and buyouts:

  • Venture/growing companies: we supply them with expansion capital.
  • Seeds/early stage companies: not our priority, however, will still consider if product/service offered by the company is well accepted by certain customer segments, at least, and start generating solid revenue; imminent profitability is not a prerequisite.
  • Buyouts/MBO: we co-invest with other quality VCs and buyout funds..

Our investment focus is wide, and could be summarized as follow:

Emerging / High-tech Industries -

  • Wireless, optical, display, network devices,
  • Unique enterprise in the semiconductor value chain,
  • Manufacturing of unique electronic parts/components, and
  • Innovative internet services, new media, etc.
  • Renewable Energy/Clean Technology

Traditional Industries -

  • Manufacturing of consumer-related products with high penetration in regional markets,
  • Manufacturing of automobile components potentially compatible to multiple car makers,
  • Distribution (a maker/service provider with effective sales/marketing channel penetrating regional markets),
  • Logistics (not capital intensive but knowledge/know-how intensive), and
  • Financial services.

We have a clear NOT TO DO list:

  • We do not invest in infrastructure and real estates
    - Too capital intensive with very long time-span
  • We do not invest in privatization opportunities
    - Too political with hidden risks
  • We do not invest in Biotech
    - We do not compete with SC' Biotech Funds
  • We do not invest in conceptual stage company
  • We do not invest in a fund or similar financial product

In addition to capital, we provide substantial business value-add to the growth of our investees via leveraging of Sumitomo's global businesses resources, such as our market intelligence and sales networks, our international renowned brand as well as consultation of our business units worldwide.

Apart from investing early stage/growth stage companies, we also occasionally pursue buyout opportunities with our selected buyout investment partners.