The China National Small Medium Enterprises Development Fund with total size of 60 Billion RMB was initiated after a decision made during the executive meetings of the Chinese State Council held on the 1st of September 2015. SME Development Fund (Shenzhen) LLP being the first Venture Capital fund directly invested by the Ministry of Finance of the People’s Republic of China, it is the first fully market operated Government guided fund as well as the biggest Fund directed at supporting Small Medium Enterprises in China. After a thorough selection process the first entity of SME was awarded to Shenzhen Guozhong Venture Capital Management Co. LTD. Guozhong Venture Capital is a professional investment company established by the joint force of Shenzhen Capital Group and the management team.
The Central Finance department contributed a quarter of the total of the SME Development Fund (Shenzhen), with the rest three quarters coming from various corporations, financial institutions and regional governments amounting to a total of 6 Billion RMB. This is the actualisation of corporations between government and market capital; it sets the trend for more private capital to be involved with SME developments. SME Development Fund focuses mainly on seed, early and developing stage enterprises. With the help through government capital and private capital supporting SMEs, it invigorates the economic growth generated from within. The management of the Fund follows market rules, adopting a limited partnership with full appreciation of the principles of incentives and restrictions.
As to date, the Fund has approved on 37 investments amount to a total of over 1 billion RMB. With all investments covering industries such as information technology, high end equipment manufacturing, internet, renewable resources, new materials and bio-pharmaceutical; especially in the field of clean energy vehicles, with respective investments in fields of electric motor, battery and chargers, which means a spread across the clean energy vehicles industry chain.
Guozhong will do its utmost to ensure Small Medium Enterprises Development Fund (Shenzhen)LLP succeeds in helping Small Medium Enterprises’ developments, making sure the Fund achieves political targets and become a model example for all regional entities of the Small Medium Enterprises Development Fund.