Exclusive Interview With Yang Fan, Founding Management Partner Of Jinyi Capital: Actively Embracing The Industrial Investment Opportunities Brought By The New Trend Of Consumption

"Although in the past two years, due to deleveraging, new regulations on asset management and other factors, the equity investment industry has been in a" cold winter ", but we are still very determined to start a business and create a new generation of local PE funds." Yang recalled the mental process of founding Jinlong capital.

In the past 2020, not only a number of new consumer brands, such as famous Chuangye products, perfect diary and bubble mart, entered the capital market. More like tea, Yuanqi forest and other companies are still growing at a high speed. They are the trendsetters in the new consumer market and are constantly setting new industry records.

It is worth noting that although it has only been established for two years, Jinchang capital has already acquired a number of listed companies, including world-class consumer brand name creation products and global biotechnology leader Huaxi biology. At the same time, there are many invested enterprises completed a new round of financing with higher valuation.

In the new consumption wave, what new consumption trends and investment opportunities does Jinlong capital see? How can the core competitiveness of Jinlong capital be reflected and how can it invest in the head projects when many institutions are setting up consumption track? Recently, Mr. Yang, the founding management partner of Jinchang capital, was interviewed by the 21st century economic report.

Create a new generation of local PE brand

Reporters in a conference room to see Yang Fan, she made up delicate, dressed beautiful. In the course of an hour and a half of conversation, Yang's speech is straightforward, warm and capable, showing a unique personality charm.

"Although in the past two years, due to deleveraging, new regulations on asset management and other factors, the equity investment industry has been in a" cold winter ", but we are still very determined to start a business and create a new generation of local PE funds." Yang recalled the mental process of founding Jinlong capital at that time, "we should combine the current opportunity of the times with more than ten years of professional experience and ecology, and participate in promoting China's consumption upgrading and industrial upgrading and development."

From the world's largest PE investment institution to his own PE fund, Yang said frankly that there is not only a strong continuity, but also a great difference. "We think a lot about the top level of Jin Chang, and there are a lot of things to be done in this process. However, the team is very meaningful every day and has new gains." Yang said.

Research driven, in-depth layout, consumption upgrading, industrial upgrading track

In terms of investment direction, Jinlong capital anchor investment consumption upgrading and industry upgrading. Specifically in the field of consumption upgrading, Jinchang capital adheres to the value investment concept driven by in-depth research, focusing on five new consumption trends.

Yang said the first major new trend is the generation of new consumers and new consumer demand. With the new generation of consumers (after 80s, 90s and 00s) becoming the main force of consumption, their consumption habits have changed fundamentally.

The second new consumption trend is the change of new flow pools and new channels. Yang said that every time the channel and flow changes, new opportunities will be created. The third consumption trend is that content and product design become the core competitiveness of new brands. The fourth is the emergence of a new supply chain. Consumer enterprises such as mingchuangyoupin also take advantage of China's supply chain advantages to bring their products overseas.

Fifth, rational consumption is also a huge trend and structural opportunity. In addition to in-depth research on consumption upgrading, Jinchang capital also attaches importance to the investment opportunities brought by industrial upgrading.

Yang said that new technologies such as 5g, big data, cloud computing, artificial intelligence, etc. are new infrastructure in the new era, and are important driving forces for a new round of industrial transformation. The team also has a positive layout.

Cooperation mentality and ecological empowerment -- the key of investment head project

Huaxi biological is a typical investment case of Jinlong capital in the consumption track. Its development also conforms to the new consumption trends mentioned above, such as new consumers and new consumption demand, new flow and channel, new content, new supply chain and so on.

Recalling the communication process with Chairman Zhao Yan at that time, Yang Fan repeatedly mentioned "partnership cooperation mentality" and "ecological empowerment".

"I communicate with Mr. Zhao with the attitude of a partner. Entrepreneurs may encounter various problems and challenges in the growth cycle of the enterprise, and then share with him without reservation the experience of our team in solving various problems in the growth period, maturity period, merger and acquisition period and transformation period." Yang recalled.

Jinlong capital invested in Huaxi bio in early 2019. In November of that year, Huaxi bio was officially listed on the science and technology innovation board, becoming one of the top enterprises in the growth and profitability of the science and technology innovation board. In terms of the company's current market value, Jinlong capital has obtained a huge book return in this transaction.

This is just a microcosm of many investments made by Jinlong capital, which reflects their hope to continue to invest in more enterprises in a stable and rapid growth period in the field of consumption upgrading and industrial upgrading, to become entrepreneur friendly partners, and to bring value empowerment to enterprises. (Editor: Lin Kun)

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