As Sino -US relations are increasingly tense, Sequoia Capital, which has a prominent science and technology investment community, announced that it has completely separated China's business.
Comprehensive Bloomberg, Reuters and Wall Street Journal reports, Sequoia Capital announced on Tuesday (June 6) in the evening to demolish global business into three.Among them, Sequoia's Chinese business will be renamed Sequoia from Sequoia China, hongshan.The business in India and Southeast Asia will be named Peak XV Partners.The original name in the United States and Europe will retain the original name.The spin -off will be completed before March 31, 2024.
Signed by ROELOF BOTHA, ROELOF BOTHA, Shen Nanpeng, and his Indian business person in charge of ChinaA statement shows that the company's global business management has become "more and more complicated."
The report said that Sequoia Capital discovered that the market was becoming more and more chaotic. The reasons for each entity shared the brand name of Sequoia, but the investment portfolio between them conflicts.Therefore, the company decided to adopt the "local priority strategy".
One example of the conflict of investment portfolios is that with the globalization of startup projects, which Sequoia to invest, it has become a question that needs to be discussed.
Before splitting, Sequoia operates independently in China and India, but will share part of the profit with the entire Sequoia Group.This situation will no longer exist after spin -off.
The report did not directly mention geopolitics.However, the analysis believes that this is because of the tension between Sino -US relations, the United States is preparing to restrict investment in the Chinese technology industry, and China is also investing in technology companies in the Chinese market.The Wall Street Journal said that business spin -off also highlights the competition between China and the United States around the next generation of cutting -edge technology innovation.
Sequoia Capital has invested in the Chinese market 15 years ago, with management funds of more than 300 billion yuan (S $ 56.798 million) and invested over 1,200 projects. The benchmark technology companies in the investment portfolio include beauty including the United StatesTeam, byte beating, spelling more.
Bloomberg said that China and the United States' concerns about security and the relative trade restrictions on tit -for -tit -for -tit -for -tit -for -titter have made many US dollar investors look at Chinese investment.Sources told Reuters that the Bayeng government has been formulating new rules to restrict the investment of the United States in China. Sequoia Capital has hired a national security company to reduce such risks to provide suggestions.
