GSR Capital Forms $1B Cornerstone Fund

BEIJING, April 18, 2016 /PRNewswire/ -- GSR Capital announced today the formation of a one billion USD cornerstone fund, "GSR Go Global Fund", with Limited Partners from Chinese leading high-tech companies, Taiwan industrial group, and world renowned entrepreneurs. The aim is to invest and build a world-class lighting industry through global acquisitions of leading LED lighting assets. The fund has already been oversubscribed and agreements have been signed by anchor Limited Partners. Industry experts Dr. Frank Fan and Mr. Jianghua Su will join the core general partner team.

GSR Capital has extensive experience in investments within the entire value chain of LED lighting. As the industry is shifting from conventional lighting to LED technology, and the global manufacturing value chain has consolidated, several world leading lighting businesses, including Philips Lighting and Osram Lighting, have recently been put on the market for sale. "These types of buyout deal are a rare opportunity for China's solid state lighting industry, to not only accelerate its globalization process, but also to improve its R&D and manufacturing capabilities," said Ms. Baiyu GUAN, General Secretary of China LED Industry and Application Association.

"M&A creates a synergistic effect by combining global distribution channels, consolidating supply chain, increasing capacity utilization, and achieving economies of scale. These impacts eventually all lead to a much-improved competitive position in the global LED lighting industry," added Ms. Ling WU, Chairwoman of International Solid State Lighting Alliance, General Secretary of China Solid State Lighting Alliance.

GSR Capital is a leading participant in these buyout deals. GSR Capital's team has deep domain knowledge of the LED lighting industry in China and around the world. With the formation of the new cornerstone fund and through the acquisition of LED lighting assets, GSR Capital is confident that it will build world-class LED enterprises with its partners capable of transforming and reshaping the lighting industry. 

"To align with the supply-side reform strategy in China, it is important for China enterprises to invest in R&D, improve IP positions, build reputable brands, and set up stable global channels," remarked Mr. Sonny Wu, Founder and Managing Director of GSR Capital. "China offers not only a large and growing market, but also a great pool of R&D talent and a strong manufacturing base. We firmly believe there is a great opportunity to build the next leading LED lighting enterprise in China that will dramatically improve products and services, increase operational efficiency and significantly reduce overall cost. By doing so, we will accelerate the world's conversion to more energy efficient and environmentally sustainable lighting."

About GSR Capital

GSR Capital believes in "Building World-Class Technology Industries in China" and focuses on industrialization of mature technology investment and high-growth emerging industry sectors. Combining highly advanced technology and powerful market force of China, GSR Capital is gaining cross-border capital arbitrage and technical achievement arbitrage while successfully achieving large-scale development of the some of the world's leading industries. GSR Capital has offices in Beijing, Hong Kong and Silicon Valley.

SOURCE GSR Capital