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China Private Equity, Venture Funds Seek More Time to Deploy Capital

Venture capital and other private equity funds that raised money to invest in China during a tech boom a few years ago are increasingly facing a quandary. Some are running out of time to put investors’ cash to work, and the pickings have become slim.



China-focused private equity and venture capital funds are seeking extensions to their investment periods due to a slump in Chinese company valuations and slowed fundraising. This is causing misalignment between fund managers (GPs) and investors (LPs), as GPs seek to deploy capital despite unfavorable conditions and limited exit opportunities.

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