Latest News:  


VC investment down 40% in 2012: report

By Tang Zhihao (

09:32, April 23, 2013

A total of $3.7 billion was invested in 202 rounds of venture capital investment activities in China in 2012, down about 40 percent year-on-year, a report from Ernst & Young said.

Despite the significant drop, the report said the median value of the investments was $10 million yuan ($1.6 million), much higher than that in other parts of the world, due to substantial investments in profitable companies in China.

Beijing became a popular investment destination for VC investors in 2012. The average round size was $19.9 million, well above the global average of $8.4 million.

“We expect the VC market in China to rebound in the second half of 2013. Although growth will be steady, we do not anticipate a return to the heights of recent years,” said Lawrence Lau, Greater China Venture Capital Advisory Group Leader of Ernst & Young.

Investments were down in all markets and the amount of financing in the seed and first-round stages dropped across regions, according to the report.

Globally, venture capital investment fall 20 percent to $41.5 billion and the number of rounds declined 8 percent to 4,970 in 2012.

However, experts said investors would see the industry turn the corner and steady economic conditions will help rebuild investors’ confidence.

“2012 was a tough year for global venture capital and we saw consolidation in the market as the number of active investors declined. However, we are hopeful that 2013 will see the industry turn the corner. Steadying economic conditions will bolster investor confidence and point towards a strengthening risk appetite,” said Ringo Choi, Asia-Pacific Strategic Growth Markets Leader of Ernst & Young.

We Recommend:

Living in mini homes in China

Stunning models at Bangkok Int'l Auto Show

Shanghai Tower, tallest skyscraper in China

Bird flu fears hit poultry industry

Bird flu takes toll on poultry industry

Int'l footwear exhibition kicks off in Shanghai

Email|Print|Comments(Editor:WangXin、Gao Yinan)

Leave your comment0 comments

  1. Name


Selections for you

  1. Soldiers in earthquake search and rescue

  2. Rescuers, sniffer dogs to conduct rescue work

  3. 2013 Toronto's Bridal Show

  4. Children in quake-hit areas

  5. Seriously affected areas in earthquake

  6. 2,200 people walk 50km to aid poor kids

  7. Highlight of Bahrain F1 Grand Prix

  8. Tom Cruise, "Oblivion" tops North America

  9. Gold loses sheen,
    but still a safe bet

  10. Credibility still top concern for Chinese firms

Most Popular


  1. Homework, games limit kids' reading
  2. Commentary: Quake-hit China grows in pain
  3. Loan guidance is good for banks, report says
  4. IMF should act responsibly
  5. Terrorist attacks should not be regionally labeled
  6. Texas town: like whipped by powerful tornado
  7. High land premiums set to affect profits
  8. Alliance sets new stage for culture
  9. Expats reconsider living in Beijing over pollution
  10. Boston bombings underscore U.S. security concerns

What’s happening in China

Teenager saves mom with his bare hands

  1. Students in quake-hit region to resume classes
  2. Pilot cancels wedding to participate in quake relief
  3. Baby girl born in Baoxing County after earthquake
  4. Make-shift toilets urgently needed in Lushan
  5. 2 armed police rescuers injured