Primavera Venture Partners, the VC arm of China-based investment firm Primavera Capital Group, has incorporated a new fund under China’s Qualified Foreign Limited Partnership (QFLP) initiative, which allows licensed international funds to invest in the country’s PE-VC space.
The QFLP-structured fund has $100 million in total capital commitments, said Primavera Venture Partners in a post in Chinese on its WeChat official account on Thursday. Located in eastern China’s Changzhou, the fund is said to be the city’s first QFLP fund created this year as well as the largest of its kind.
The vehicle will primarily invest in advanced technologies, including artificial intelligence (AI), smart manufacturing, and new-generation information technology, said the firm.
Founded in 2020 to focus on early-stage dealmaking, Primavera Venture Partners said it is looking to “promote the local industry upgrade and economic growth”, with the launch of this QFLP fund as the starting point of its cooperation with the Changzhou government.
Primavera Capital, which was founded in 2010 by former Goldman Sachs rainmaker Fred Hu, operates multiple RMB and USD-denominated funds across offices in Beijing, Hong Kong, Silicon Valley, and Singapore.
It is an investor in Chinese e-commerce giant Alibaba Group, fast-food chain operator Yum China, TikTok-owner ByteDance, and electric vehicle (EV) brand Xpeng.
The firm is said to have closed Primavera Capital Fund IV at $4 billion. It had targeted a hard cap of $4.5-5 billion, Bloomberg reported in April 2022.