China’s deleveraging drive is not making
private equity markets falter but rather giving them a boost,
according to panellists at the HKVCA Asia Private Equity Forum
The private equity (PE) market in China has seen a
tremendous surge in the past few years, but there is still room
to grow. Panellists have noticed a trend whereby startup tap
funds in the private market then stay private for longer. This
is driven by disappointing post-IPO stock prices and pressure
from investors to cash out.
The China-specific trend towards deleveraging has also meant
that businesses are coming up against a wall...