6 July 2015
Clifford Chance advises Cathay Capital Private Equity on the creation of the Sino-French Innovation Fund with support of Bpifrance and China Development Bank
Leading international law firm Clifford Chance is advising Cathay Capital Private Equity on the creation and implementation of the Sino-French Innovation Fund, a new cross-border investment vehicle active across France, China and the United States and dedicated to providing venture capital financing for innovative startups.
The Sino-French Innovation Fund will invest in a total of 12 to 18 innovative startups, chiefly based in France and China. The fund will adopt an investment strategy designed to boost the development of these companies across each targeted geographic zone by fostering dialogue and partnerships between them.
The clearly defined objective of this strategy is to help portfolio companies to connect with one another from the outset through a global ecosystem (Europe / Asia / United States) in order to enhance their vision and accelerate their international growth. The fund will target investment in digital startups linked to the internet, including mobile, big data, ‘the Internet of Things’, advertising, digital marketing, software, cloud technologies, security, gaming, media, social networks, BtoB applications etc.
The fund aims to raise 200 to 250 million Euros, of which 100 to 150 million will come from third-party investors beyond cornerstone investors Bpifrance and CDB Capital. The fund will partner with and finance digital start-ups, mainly in France and China and to a lesser extent in the United States. The amounts to be invested in each startup will range between 5 million and 25 million Euros. With the establishment of this new fund, Cathay Capital plans to launch a dedicated line of activity on this segment, by leveraging its global network for the benefit of the most innovative companies.
Clifford Chance is advising Cathay Capital Private Equity, namely with Xavier Comaills (partner) and Marie Preat (lawyer).