HKVCA Private Equity Fundamentals Course 2015



The HKVCA’s Private Equity Fundamentals Course is a comprehensive training course designed for those wishing to enhance their knowledge of the core fundamentals of private equity and venture capital. Held annually, it also serves to refresh and upgrade the skill set of professionals in the industry. Modules are led by highly experienced industry practitioners with years of experience in deal-making, structuring, corporate value-creation and exits, often utilizing real cases as a way to illustrate and share their professional insights.

For this year’s course we were especially pleased to have the support of the Hong Kong Stock Exchange, Hong Kong University’s MBA program, as well as the MBA program at the Hong Kong University of Science and Technology.

Two of the sessions, dealing with early stage investment and private equity basics, were completed on September 25th and 30th. An additional two modules, on transaction documentation and post investment matters, as well as a session dedicated to discussing case studies, were completed on October 13th, 15th, 16th respectively. Finally, a masterclass examining the LP universe and ecosystem was held on October 26th. We would like to thank KPMG for its sponsorship of the masterclass. We would also like to extend a special thank you to our speakers:
  • James Savage from Hendale Capital, who provided an introduction to the subject of early stage investment, the screening process and valuation;
  • Thomas Chou from Morrison & Foerster, who spoke on negotiations and term sheets;
  • KO Chia from Grace Financial, who discussed early stage post investment, exits and provided an introduction to private equity;
  • Wen Tan from Aberdeen Asset Management, who delivered an overview of private equity in Asia;
  • Lorna Chen and Simon Williams from Shearman & Sterling, who discussed established PE funds;
  • Philip Li from Freshfields Bruckhaus Deringer, who took attendees through the latest regulatory issues in China;
  • Vincent Warner from Chepstow Capital, who spoke about deal sourcing and due diligence;
  • Robert Kwok of Ernst & Young, who discussed valuation issues;
  • Joseph Ferrigno of AMCG Partners, who highlighted the differences between equity and debt financing;
  • Patrick Yip of Deloitte, who discussed complex tax issues;
  • Douglas Freeman from Paul Hastings, who spoke on deal protection and risk allocation issues;
  • Rocky Lee from Cadwalader, Wickersham & Taft LLP, who discussed non-leveraged/VC transactions;
  • Simon Cooke and Neeraj Budhwani from Clifford Chance, who spoke on buyouts;
  • John Levack from Electra Partners Asia, who covered management of portfolio companies;
  • Miranda Tang and Michael Chan from CLSA Capital Partners and Hong Kong Exchange and Clearing, who discussed exit strategies;
  • Oscar Chow from Chevalier Group; Roger King and Winnie Peng from HKUST; Alvin Lam from CVC Capital Partners and NiQ Lai from Hong Kong Broadband Network covered two case studies;
  • Jie Gong from Pantheon Ventures (HK) talked about Private Equity fitting into the financial industry ecosystem;
  • Malcom Prebble from KPMG China discussed tax implications around PE funds; and
  • Josh Jacob from Hamilton Lane and Kallan Resnick of the Park Hill Group who discussed the LP universe.     
Masterclass Sponsor
Interview Topic


The relative value approach to Asia

As a member of the firm’s global investment committee and the private equity directs investment committee, Rubeli is well-placed to talk about Partners Group's distinctive and unique "relative value" investment strategy.
Christoph Rubeli,

Co-Chief Executive Officer
Partners Group AG

Christoph Rubeli is the co-chief executive officer of Partners Group and splits his time between the firm's offices in Zug, Switzerland, and Singapore. The firm currently has US$ 47 billion in assets under management for investment across private equity, private real estate, private infrastructure and private debt on behalf of its clients. As a member of the firm’s global investment committee and the private equity directs investment committee, Rubeli is well-placed to talk about Partners Group's distinctive and unique "relative value" investment strategy.

Partners Group applies this relative value approach in Asia, having opened its first Asian office in Singapore in 1996. “From the beginning, we tried to map out what the different sub sectors in Asia were delivering, because it is a very fragmented industry we’re in. We work on the basis that about 50 percent of the return derives from top down analysis and the other 50 percent is in choosing the right investments within the framework of that top down framework. So the asset allocation has always been very important,” Rubeli said.

“When we looked at the relative value from 1996-97 to about 2003, the risk-adjusted returns in Asia did not stack up. But 2003 proved to be a turning point for the private equity industry from our point of view. We could see there was more value being created, that the industry was growing, and that the technical skill set within the industry had become much better. At that point, we also felt that several GPs had built enough experience with robust teams that we could back. So that was the right time to start making investments and we have been an active direct, secondary and primary investor in the market ever since.

"Last year, about 25 percent of the capital we invested globally was in Asia Pacific and emerging markets and I could see this increasing towards the 30 percent mark in the coming years,” he added.

The majority of Partners Group’s programs are global or regional in focus and this is unlikely to change given that its clients are not looking to the firm to generate programs that are specific to one single country. Program investment themes are based either on a specific strategy within each asset class, like secondaries or directs, or else offer clients "integrated" exposure to direct, secondary and primary transactions within one asset class. Programs with a high allocation to Asian markets include emerging markets private equity and private real estate vehicles.

“The majority of our clients give us a global mandate, which leaves us to pick the regional asset allocation or to choose the themes and sub sectors in the investment space. We look at the trends and demographic shifts in each growth market. If you look, for example, at the industry potential in healthcare, education, financial services and professional services, these are themes that for the next decade, if not two, are expected to do very well in emerging markets, including in Asia,” Rubeli said.

Rubeli ascertained that the returns generated in Asia have been very favorable since 2006 and  that the region's future return potential warrants Partners Group continuing to invest a significant proportion of its global assets under management in the region on behalf of its clients.

"Our clients are extremely happy with the returns from our Asian investments and I see no reason why that would distort. If you look at asset valuations around the globe, after a period of assetflation, prices in Europe and the US are at very high levels. Relatively speaking, Asia can be more attractive now in terms of pricing than the other two regions," Rubeli said.

"However, as with anywhere, successful investing is dependent on having the relevant level of experience in the region and local expertise on the ground. It also requires a highly selective approach to investment – for example, at Partners Group we decline an average of 97 percent of our deal flow."

Real estate investments in particular have been very attractive. Last year, Partners Group closed over USD 400 million in real estate investments across Asia Pacific, the bulk in Beijing, India and Hong Kong. “Our base strategy is opportunistic or added value – we buy outdated buildings, modernize them and make them appealing, and then sell them again after several years. Essentially, we are manufacturing the core assets that other people would love to own. We’re adding value to create core assets,” Rubeli said.    

Upcoming Events



HKVCA Members Event

Limited seats available

Sponsored by:

Date: November 6, 2015 (Fri)  
Time: 08:00 - 09:00
Venue:   Victoria Suite, Hong Kong Club, 1 Jackson Road, Central, Hong Kong (Room reserved under the name of Johnny Chan)
Fee: Full Members (Corporate): one free pass per company
*Note, free pass no shows will be charged full price
       Full Members (additional pass)/ Associate Members: HK$280
*An additional charge may apply to accommodate special dietary requests.

Limited seats available

Sponsored by:       

This training session will be led by Blackpeak Group, an Asia-focused strategic advisory firm that has conducted over 750 IDD investigations. Whether your firm is looking for techniques to improve in-house due diligence competencies or simply to better understand the IDD process, this session will discuss:
  • The IDD process and what’s needed to get started
  • Getting the most out of in-house public records and desktop research
  • Key China and Hong Kong databases
  • Conducting field investigations and industry interviews
  • Case studies
Blackpeak speakers:
  • Jack Clode, Partner, Hong Kong
  • Sean Chen, Director, Beijing
  • Tom Pellman, Senior Associate, Beijing
  • Roger Du, Senior Associate, Shanghai
Date: November 16, 2015 (Mon)
Time: 12:30 - 14:00
Venue:   The China Club, 14/F, Old Bank of China Building,
Bank Street, Central, Hong Kong
Full Members (corporate): one free pass per company
*Note, free pass no shows will be charged full price
Full Members (additional pass)/Associate Members:
HK$450 per person

Non-members: HK$800 per person
*An additional charge may apply to accommodate special dietary requests.
CPT:  1 point
CPD: 1.5 points


HKVCA Young Professionals Mixer
Charity Fundraising Beer Pong Competition


Date: November 20, 2015 (Fri)
Time:  18:30
Venue:         Déjà Vu (1/F, 17 Lan Kwai Fong)
Fee: Beer pong team entry fee (max. 5 persons):
HK$1,250 per team (includes 5 drinks)
Advance Ticket: HK$150 (includes one drink)
Walk-in: HK$200 (includes one drink) 
*All proceeds ex costs will be donated to Volunteers for Seniors Day, by HOPE Worldwide.

**Please contact Colin Tam at 
if you would like to participate in the beer pong tournament.


Limited seats available   

The 15th HKVCA Wine Tasting Event
"All roads lead to 
Rome Tuscany!"

Sponsored by:  


Date: November 23, 2015 (Mon)
Time:  18:30 - 20:30
Venue:         Hong Kong Club, 1 Jackson Road, Central, Hong Kong
(Room reserved and hosted by Marcus Thompson)
Fee: Early-bird rate (Deadline: 4 Nov 2015):
Full/Associate Members: HK$590 HK$680 per person
Non-members: HK$1080 HK$1200 per person
*Priority is given to HKVCA Members


Nine Months after Announcement 7:
Sharing war stories and the market's responses by EY

Sponsored by:       

  • Highlights of new supplementary regulations to Announcement 7
  • Experiences dealing with Announcement 7 reporting and tax filing
  • Discussion of how Announcement 7 is impacting the transaction
    environment and practices
          David Chan, Head of Transaction Tax, Greater China, Ernst & Young 
Date: November 30, 2015 (Mon)
Time: 12:30 - 14:00
Ernst & Young, 22/F CITIC Tower, 1 Tim Mei Avenue, Central, Hong Kong
Full Members (corporate): one free pass per company
*Note, free pass no shows will be charged full price
Associate Members/ Full Members (additional pass): HK$200 per person
Non-member: HK$400 per person
CPT:  1.5 points



China is the great economic success story of the past 25 years. At home, it has lifted living standards for hundreds of millions of people. Overseas, it has become inextricably intertwined with the rest of the global economy.

In this briefing, Velisarios Kattoulas and Alastair Campbell of The Poseidon Group, will discuss China’s slowdown, highlighting its economic and political impact in Asia Pacific and beyond.
  • Velisarios Kattoulas, Chief Executive Officer, The Poseidon Group
  • Alastair Campbell, The Poseidon Group
Date: December 3, 2015 (Thu)
Time: 12:30 - 14:00
The China Club, 14/F, Old Bank of China Building, 
Bank Street, Central, Hong Kong
Full Members (corporate): one free pass per company
*Note, free pass no shows will be charged full price
Full Members (additional pass)/Associate Members:
HK$450 per person

Non-members: HK$800 per person
*An additional charge may apply to accommodate special dietary requests.
CPT:  1 point


Sponsored by:


Date: December 10, 2015 (Thu)
Time: 18:00 - 20:00
Venue:        The China Club, 15/F, Old Bank of China, 1 Bank Street,
Central, Hong Kong
Fee: Full Member/Associate Member: HK$350 per person
Non-member: HK$700 per person
Priority is given to HKVCA Members
Speaker:  George Chen, Managing Editor for International Edition



HKVCA Members Event

Limited seats available  

Date:   January 19, 2016 (Tue)     
Time: 18:30 - 21:30
Venue:     The Hong Kong Country Club,
188 Wong Chuk Hang Road, Deep Water Bay, Hong Kong
Cocktail Sponsor:

Highlights of Gala Dinner 2015




Platinum Sponsors
     Luncheon Sponsor Cocktail Sponsor
Gold Sponsors
HQ Capital logo W110
Sliver Sponsors
                KKR High_Res Logo

  Coffee Sponsor                    Lanyard Sponsor
Highlights of APEF2015

Early Bird Rate
· HKVCA members or Registrants of AFF HK$3,300 / US$425
· Non-Members HK$6,800 / US$875
Early Bird Special Package
For HKVCA members only
Asian Financial Forum + Asia Private Equity Forum
HK$7,600 / US$975

Early Bird / Special Package (* Payment deadline is November 30, 2015)

Free LP Passes
We have a limited number of free passes for Pension Funds, Fund of Funds, Endowments, Foundations, Family Offices, DFIs and Sovereign Wealth Funds (subject to verification and max. 2 passes per company). If you would like to apply, please email to  


Save the date


Date: March 4, 2016 (Friday)
Time: Check in and breakfast: 07:15 
Shotgun Start: 08:15 
Venue: The Hong Kong Golf Club (Fanling)
No. 1 Fan Kam Road, Sheung Shui, New Territories 

Platinum Sponsors Gold Sponsors

Save the date
Platinum Sponsor Sliver Sponsor Venture Forum Sponsor


HKVCA Supporting Events:

CPA Congress 2015
30 October 2015

The 28th Annual AVCJ Private Equity & Venture Forum
3-5 November 2015
CIV2015HK: The Future of Venture
6 November 2015
APAC Innovation Summit 2015 Series – Advanced Materials
26 November 2015

EY Entrepreneur Of The Year 2015 China
November 2015

Business of IP Asia Forum
3-4 December 2015
The 7th Global PE Beijing Forum
5 December 2015
Hong Kong International Entrepreneurs Festival
3-5 December 2015


New Members Welcome

Full Member      
IG Capital (Imperial Group Holdings LLC)       
IG Capital Partners (IG) is a private equity firm in Real Estate. Founded in 2011, IG Capital today employs more than 20 people across US, Hong Kong and China, currently managing USD $30M+ in assets worldwide. The IG team's local knowledge and extensive contacts underpin a proven track record on Research, Acquisitions, Underwriting, Asset Management and Closing Services worldwide.       
Overseas Full Member        
Interventure Capital Group
Associate Members     
Invest in Spain         

"Invest in Spain", is a department under the Ministry of Economy in Spain. It is responsible for promoting business opportunities in Spain for investors overseas across all economic sectors in Spain.

Withers is the first international law firm dedicated to serving the business, personal and philanthropic interests of successful people. Having clients wtih global business and personal interests means it understands that patterns of wealth generation and its international distribution. The knowledge enables Withers to offer sophisticated and integrated legal advice.                    
Overseas Associate Member   

Johnson & Associate, LCC     

Recent Events Report

HKVCA LP Luncheon    
23 October 2015
The HKVCA’s LP Committee hosted the latest in a series of LP only luncheons where one of 2015’s hottest topics in Chinese private equity was discussed - the delisting of technology companies from US stock exchanges and their relisting on the Hong Kong or a mainland stock exchange. The Committee was delighted that as many as 23 representatives from 20 limited partner institutions were able to take the time from their busy schedules to attend the lunch at the China Club.
We would like to thank our speakers, Jingbo Wang from IDG Capital and George Niu from Junhe, for their invaluable contribution and support.                   


HKVCA Family Office Luncheon     
12 October 2015                 

The HKVCA Family Office Luncheon was held for the first time in October to provide a platform for the various family offices to meet and interact in an informal setting. Attendees were able to re-connect with old friends and indeed make new ones. With 16 family office professionals joining us at the China Club, we received excellent feedback from those in attendance and a number of constructive suggestions as to how the HKVCA can best serve this important segment of the profession.        
Industry News
Electra sells 23 percent holding in Zensar Technologies Limited to Apax     
12 October 2015

(Press Release) - A subsidiary of Electra Private Equity plc, on 9th October 2015, sold its entire 23.2 percent shareholding in Zensar Technologies Limited to funds advised by Apax. The Zensar shares are listed in India, but the transaction was concluded off-market. The sale value was US$129m, and the realisation concludes an investment that has returned to Electra 16x total cost (in US$ terms) and has given an IRR of 18 percent.

The original investment in 1997 of US$9m allowed the spin out of the software services subsidiary from its parent company (which manufactured computer hardware). Four years later, when the hardware operation had been wound-down, the software business reversed into the quoted shell and was renamed Zensar. The business has grown strongly and steadily due to the growth trend in the software services sector, where India retains a competitive advantage, plus non-organic growth from a number of acquisitions that gave Zensar access to specific technologies and specialisations. At the time of Electra’s investment, Zensar employed 900 people compared to over 8,000 today.

View full article here   
HK real estate equity group to buy Big Hotel for $203m

22 October 2015
(The Straits Times by Grace Leong) - A Hong Kong real estate private equity group is acquiring Big Hotel in Singapore for $203 million, The Straits Times has learnt.

Gaw Capital Partners is known for restoring iconic hotels such as the Hollywood Roosevelt in Los Angeles, and the Victorian-style hotel, The Strand, in Yangon.

Co-founder Kenneth Gaw is one of three directors listed at GCH, based on an Accounting and Corporate Regulatory Authority search. GCH is an investment holding company acquiring the 16-storey, 308-room hotel at 200 Middle Road. The other two directors are Mr Alan Lee Kam Hung and Mr Lee Wei Hsiung.

View full article here

Asian travel activity booking site Klook bags US$5 million to ramp up portfolio as its 50 percent discounts prove a winner
16 October 2015
(SMCP by Alice Woodhouse) - Hong Kong-based travel activity booking platform Klook has secured US$5 million in a Series A funding round led by US venture capital firm Matrix Partners, the company announced on Friday.

Klook, which offers tried and tested activities and tickets to attractions in Asia to more than 500,000 users, also drew investment from China Growth Capital and Hong Kong’s “father of the red chips” Francis Leung Pak-to, the chairman for Greater China of CVC Capital Partners.

Klook said it will use the money to increase its portfolio of activities and destinations while also enhancing its technology.

“Five out of the top 10 most visited cities in the world are in Asia -­‐Hong Kong, Singapore, Seoul, Kuala Lumpur, Bangkok,” said­‐Klook co-­‐founder Ethan Lin.

View full article here

RRJ Capital raises $4.5 billion in largest asian private equity firm fundraising               
1 October 2015  

(WSJ by Rick Carew) - RRJ Capital closed the largest-ever private-equity fund for an Asian firm at $4.5 billion, giving prolific deal-maker Richard Ong a war chest to hunt for new opportunities across the region.

RRJ Capital, based in Hong Kong and Singapore, this week closed its third fund after nine months on the fundraising trail, according to a person familiar with the situation. The fundraising was oversubscribed by $1 billion, with the majority of the capital coming from North American investors, the person said.

The fresh cash comes as money is becoming scarcer across Asia, with lenders cutting back and fewer companies launching initial public offerings. Private-equity firms across the region are hunting for bargains as valuations for many once-highflying companies come back to earth.

RRJ Capital, founded by Mr. Ong in 2011, has rapidly ascended to the top ranks of private-equity firms in the region. The firm now manages $11 billion and its new fund is the largest this year, bigger than the $4 billion raised by Baring Private Equity Asia in February. It will also be the second-largest devoted to Asia after a $6 billion fund raised by U.S.-based global private-equity firm KKR & Co. in 2013

View full article here 


About AFF
The Asian Financial Forum (AFF) brings together some of the most influential members of the global financial and business community to discuss developments and trends in the dynamic markets of Asia.  In 2015, over 100 internationally respected leaders in government, financial and business sectors gathered for groundbreaking discussions about opportunities and challenges facing Asia. More than 2,600 participants from 39 countries and regions attended the 2-day Forum, among which 85% of them were CEOs and senior decision makers. 

On Day 2 of AFF, one-on-one meetings between sources of funds and sources of deals will be arranged in the Deal Flow Matchmaking Session.  Over the years, 2,600+ meetings were arranged for more than 1,000 companies involving investment project owners, private equity firms, investors, high net-worth individuals and senior professionals from intermediaries and professional services providers.

Members of HKVCA can enjoy a 40% discount on AFF admission passes.  Please fill in the registration code MHWA104 when registering on

Early Bird Special Package
For HKVCA members only
Asian Financial Forum +
Asia Private Equity Forum
Early Bird Rate
HK$7,600 / US$975


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