Ningbo launches venture capital fund program-2
- Details
- Category: Ningbo Business
- Published: Tuesday, 21 February 2012 10:00
Ningbo has launched a venture capital investment fund program that targets cooperation projects to be collected in public from today on.
With 250 million yuan earmarked for the first phase and 1 billion in total, the fund is non-profit. It aims at motivating the financial fund to give its leverage effect. By supporting commercial venture capital enterprises, the fund encourages social capitals to enter the field of venture capital, which is expected to improve the environment for venture investment in Ningbo.
According to the city's industrial development plan, the fund will mainly flow to areas of new materials, new equipment, new energy, new communication technology, marine high-tech, energy saving and environmental protection, health and creative designing. The fund will be for sharing but not holding equities, so as to ensure the decision-making independence and commercialized operation of venture capital businesses and startups.
To insure that the fund is wisely used, the government of Ningbo specially sets up a management committee as a decision-making body for the fund. Also, Ningbo Industrial Investment Group sets up an initiation fund management company, which is in charge of fund and investment. It will largely boost the development of startups and high-tech enterprises.
The projects to be collected mainly include two kinds. One is temporary equity projects, for which the fund will be introduced to venture capital businesses in the form of equity investment and it will retreat within an agreed period of time. The other is follow-up investment projects, for which the fund will be invested on startups selected by venture capital companies (which will be jointly funded by the fund and the venture capital companies). Projects of this kind must be in the administrative regions of Ningbo Municipality
All of the venture capital companies and high-tech enterprises that meet the conditions can apply. The fund will be available for projects that meet specific requirements, so as to better contribute to the transformation and upgrading of industries in Ningbo.
