DragonVenture to Co-Manage Fund with SZVC
- the Largest VC in China

DragonVetnure' s agreement with SZVC received media converage from major local media as well as professional agencies.
Click on the following links or images to view the coverage.


SHENZEN, CHINA. Oct. 16, 2001 — Silicon Valley based cross-Pacific venture capital firm DragonVenture, Inc. (www.dragonventure.com) announced today it has entered into a definitive agreement with China’s largest venture capital firm Shenzhen Venture Capital Co., Ltd. (www.szvc.com.cn) to co-manage a $500 million RMB (equivalent of US$60M) venture capital fund. Half of the fund will be raised mainly in China in an effort spearheaded by Shenzhen Venture Capital; for the other half, DragonVenture may take in additional limited partners from the U. S. to round out the investor roster. Investment of the fund will focus primarily on IC design and related software and high technology companies in China. For diversification purposes, portion of the fund will also be invested in areas of telecommunications and Internet infrastructure.

The signing ceremony took place at the annual China High-Tech Fair with many dignitaries in attendance including Shenzhen Mayor Yu Yiu Jun. K. Bobby Chao, chairman of DragonVenture, and, Kan Zhi Dong, President of Shenzhen Venture Capital, were on hand to sign the agreement.

From L-R: Kan Zhi Dong, President of Shenzhen Venture Capital and Bobby Chao, chairman of DragonVenture.

DragonVenture, a Silicon Valley headquartered firm, has established itself in the last 18 months as a premier cross-Pacific venture capital and consulting company. DragonVenture has made investments in 8 startups in the U. S. from the first fund it manages. In addition, DragonVenture is working closely with numerous U. S. firms on their China strategy while assisting a handful of Greater China companies to expand business horizons into North America.

“We are excited at the myriad of opportunities before us today in China." said K. Bobby Chao, chairman and co-founder of DragonVenture, “By joining forces with the largest venture capital firm in China and focusing on China’s growing IC and semiconductor sectors, we will be combining Silicon Valley experience and knowledge with locally managed venture capital to help trigger the next generation of entrepreneurial success stories in China" Mr. Chao is one of the original founders of Cadence Design Systems (NYSE: CDN), the largest electronic design automation software developer and vendor in the world today.

“Shenzhen Venture Capital very much looks forward to this newly established relationship to bring in international venture capital experience and funds to help nurture the growth of China high technology companies" said Kan Zhi Dong, President of Shenzhen Venture Capital,  “together with SZVC’s established reputation and strong foothold in China, and DragonVenture’s experience-packed team of venture capitalists and technology experts, this new fund can potentially be behind many well-known high tech companies in China for years to come"

About DragonVenture, Inc.

DragonVenture, Inc. is a premier cross-Pacific venture capital, consulting and soft incubation company specializing in bridging the U.S. and Greater China marketplaces.  DragonVenture manages funds that invest in emerging companies in the areas of telecommunications, Internet infrastructure, IC & Semiconductor, and Linux.  The company provides cross-Pacific consulting services and facilitates cross-Pacific strategic alliances and/or partnerships, and mergers and acquisitions through DragonVenture's M&A Fund.  DragonVenture, Inc. is located at 20 Great Oaks Blvd. Suite 130, San Jose , CA 95119 and also has a branch office in Beijing , China .  For more information visit www.dragonventure.com.


About Shenzhen Venture Capital Co., Ltd.

Incorporated in 1999, Shenzhen Venture Capital Co., Ltd.(SZVC) is the government-backed leading venture capital firm in China with total paid-up capital of RMB1.6bio. SZVC is primarily engaged in making equity investment in technology-related high-growth companies and management of venture capital funds. With total capital under management exceeding RMB3bio, SZVC is now ranking as the largest venture capital firm in China.

With a team of professionals that possess years of working experience in industry knowledge, financial expertise and investment discipline, SZVC is committed to help nurture the growth of small-cap hi-tech companies in China and to share the rewards of investment with business partners from home and abroad. For more information visit www:szvc.com.cn