China’s PE industry could grow by ten times in five years

Katherine Wang, chairwoman of Power Capital Corp, reportedly told a conference that the country’s industry could grow to 1tr yuan ($146.4bn) from today’s 100bn yuan in the next five years as domestic private equity firms start to compete with global players.

China's private equity market has been dominated by Western firms thus far. That could change, however, as domestic SMEs are more likely to gravitate towards Chinese funds as non-Chinese funds are known for demanding controlling stakes, the report cited a source as saying.

Foreign firms are showing increased interest in setting up yuan-denominated funds in China, with Blackstone earlier this week officially announcing the launch of such a vehicle.

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