Chinese venture capital group GSR Capital is raising US$5 billion to fund the acquisition of overseas technology.
The fund, expected to be announced Monday, will target tech assets in internet and biotechnology industries where the Chinese market is key to growth, according to the Wall Street Journal.
GSR Capital, which was set up by Chinese tech entrepreneurs in 2004, raised its global profile in March when it joined US venture capital firm Oak Investment Partners in a US$2.8 billion deal for 80 percent of Philips N.V.’s lighting components and automotive-lighting business.
GSR’s latest fundraising comes as Chinese firms, encouraged by policymakers in Beijing, are pushing abroad to snap up technologies that China imports.
Many of these markets rely to China, the world’s largest consumer of the end products.
State-owned Tsinghua Unigroup Ltd. made a US$23 billion approach to chipmaker Micron Technology Inc. this month.
Tsinghua Unigroup, an arm of the country’s top science university, faces hurdles in bringing Micron to the negotiating table given the potential scrutiny such a deal would bring from the US government.
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