Media Reports

Venture capital fund for the first time into high-tech production enterprises

Yesterday, the reporter learned from the Ningbo High-tech Zone Management Committee that Ningbo Exciton Technology Co., Ltd is favored by a large international private equity fund and has received $10 million in investment, which is the first production-oriented enterprise to obtain venture capital in Ningbo High-tech Zone. Currently, the first phase of US $1 million 500 thousand investment has been successfully injected into the company. Dr. Kim Yadong, the company's director, said the financing will be mainly used to expand the existing TFT-LCD optical thin film production line, two years later, the company's optical thin film production capacity will be five times larger than the existing capacity.
At present, small and medium-sized enterprises are facing difficulties in financing, especially under the background that the physical mortgage conditions of small and medium-sized technological enterprises are insufficient as financing bottlenecks, the success of Exciton  in attracting investment is noticeable.
How can entrepreneurs make venture capital look at their own projects? Kim Yadong said that the key point is to see whether the project you do can form a core competitiveness after financing, is someone else can not copy the project. He said that at present in the mainland's peer enterprises, "Exciton" is the only enterprise with independent intellectual property rights, in product development, "Exciton " is also far ahead. "Our equipment is self-designed and customized in China, the cost is only about 10% of the imported equipment, our variable cost, that is, raw materials, has also achieved localization. So on the basis of the performance of the same kind of products abroad, we can produce good products with lower cost materials and equipment, "said Jin Yadong.
At the same time, venture capital institutions have always attached importance to the core team of enterprises. For venture capitalists, they are concerned about the strategic orientation and values of entrepreneurs and entrepreneurs, because the CEO of the early enterprise often plays a decisive role in the future development of the enterprise. The main founders of  Exciton  are overseas returned students who have rich working experience in foreign companies. Most of the core team members also contribute to the world's top 500 enterprises and well-known research and development institutions at home and abroad. "This should be the most important reason why we can get investment."
Industry insiders say that, in general, venture capital is optimistic about the project, put money into it to grow, at a certain time, through the way of IPO listing or strategic cooperation to recover investment, and get a high rate of return. And "Exciton " undoubtedly meets the demand of venture capital.