Archives for ARC China category
ARC China, with CEO Adam Roseman, has announced that Joshua Kurtzig will be joining their team as a Managing Director. As head of ARC China’s Beijing office, Kurtzig will be in charge of business development, execution and portfolio management.
Before joining ARC China, Kurtzig was a director of DAC Management, where he ran the firm’s finance and distressed equity group. He was also the Director of Financial Advisory Services at Stonebridge International, where he was responsible for market entry strategies as well as for providing investment advice.
Adam Roseman, Founder and Managing Director of ARC China, announced on September 20, 2010 that he would be moderating a panel discussion. The panel discussion, titled “Examining the Development & Growth of a Sustainable Domestic Private Equity & Venture Capital Ecosystem In China: What More Is Needed For The Long Term Strength Of The Industry?” was part of the China Summit at SuperReturn Asia 2010.
SuperReturn Asia 2010 is the region’s main annual Private Equity and Venture Capital Industry event, and it was co-sponsored this year by Adam Roseman’s investment firm, ARC China. This year’s conference was held from September 27-30 at the JW Marriot Hotel in Hong Kong.
The panel examined a number of current topics including exit strategies and the need for transparency in China’s domestic listing process.
SuperReturn Asia is the premier conference, held annually, which examines the Private Equity and Venture Capital Industry in China and Asia. This year’s conference took place on September 27-30, 2010 and was co-sponsored by the investment firm ARC China. Adam Roseman, the founder and managing Director of ARC China, was the moderator for an informative panel discussion investigating a particular aspect of the private equity and venture capital industry entitled, “Examining The Development & Growth Of A Sustainable Domestic Private Equity & Venture Capital Ecosystem In China: What More Is Needed For The Long Term Strength Of The Industry?”
This panel discussion was part of the popular “China Summit,” one of the events at the SuperReturn Asia 2010 conference. The panel looked at many relevant subjects that are of interest, including exit strategies and the importance and need for transparency in the domestic listing process in China. Also discussed were ways to expand mainstream securities and other financial structures, the growth and change of the legal and educational institutions which are critical for the support of China’s growing private equity industry, and other crucial subjects.
The end of September, 2010 saw Adam Roseman once again involved in an informative panel discussion entitled “Examining The Development & Growth Of A Sustainable Domestic Private Equity & Venture Capital Ecosystem In China: What More Is Needed For The Long Term Strength Of The Industry?” The panel discussion, which was moderated by Roseman, founder and managing director of ARC China, took place during the China Summit at SuperReturn Asia 2010, which was held from September 27-30.
SuperReturn Asia is the flagship conference held annually which takes an in-depth look at the past, present and future of the private equity and venture capital industry in China and the rest of Asia. ARC China, Adam Roseman’s firm, was a co-sponsor of this influential and well-attended conference.
Adam Roseman, Founder and Managing Partner at ARC China, explains in his weekly newsletter that China is promoting strategies to develop seven emerging industries. These industries include energy saving and environmental protection, new generation of information technology, biology, high-end equipment manufacturing, new energy, new material, and alternative energy vehicles.
The State Council selected these seven industries recently during an executive meeting. Shortly thereafter, the National Development and Reform Commission (NDRC), China’s top economic planner, announced a plan to invest RMB100 billion in these emerging industries. This money should be put into these seven strategic industries over the next two to three years.
Adam Roseman was a panelist speaking on RMB Funds’ exit strategies at the recent 2010 China RMB Funds Forum in his capacity as ARC China MD and founder. It is ARC China that has launched six public-private joint equity RMB funds so far. The firm has also joined forces with The Westly Group (a venture capital firm) and local governments to set up funds in Tier II and Tier III cities in the hope of supporting and developing the local economies. In this capacity it aims to “conduct due diligence, market analysis, transaction negotiation, corporate governance advisory for portfolio companies, and thorough analyses of exit opportunities to determine the suitability of potential enterprises.” Roseman asserted that: “It is important for PE funds in China to develop a multi-strategy exit approach to their portfolio companies. While historically most PE portfolios in China have focused on a small number of portfolio companies providing the overwhelming return to their LPs through A-share listings, this is not healthy or sustainable over the longer-term.”
Before venturing into new investments, it’s important to take the time to get to know the market. Certainly, companies like ARC China with Adam Roseman understand the Chinese market and have done their research before investing.
Here are a few suggestions. To begin investing seriously in China, it is helpful to establish a local presence and to acquire local knowledge. You can do so by establishing a representative office in China, or by teaming up with a partner that already lives there. Consider incorporating Chinese expertise and local talent into your management plan.
Help top management to nurture close relationships with local counterparts. They need to invest time and money into building strong relationships with business partners in the region.
ARC China includes a team of over 30 professionals who use a proven on-the-ground active investment strategy. They make value-oriented, highly-involved public and pre-IPO private equity investments in high growth businesses in the Peoples’ Republic of China. With CEO and Founder Adam Roseman, ARC China works tirelessly in their offices in Shanghai and Chengdu, L.A. and New York.
One important person who is part of the ARC China team is Michael Bruck. With international experience for over 30 years in investing in China, Silicon Valley and Wall Street, Mr. Bruck has founded and operated many companies. Prior to his work with ARC, he was the CEO of East Broadway Advisors, a financial advisory firm based in Hong Kong. He was also, prior to this, a Managing Director at Tripod Capital, a China-focused private equity firm.
Mr. Bruck has a B.S. degree and an M.S. in Electronic and Electrical Engineering from the University of Manchester in the U.K. and he has studied both finance and marketing at the Anderson School of Business at UCLA.
As CEO of ARC China, Adam Roseman is certainly a busy executive. At the same time, he makes the time for charitable causes and sits on the Board of Directors for Big Brothers Big Sisters of Los Angeles. He is also on the Board of Governors at Cedars Sinai Medical Center.
Adam Roseman believes that CEOs and business leaders have a responsibility to invest in the communities that helped to form their success. As he explains, “The need for business leaders to play an active role in philanthropy is greater than ever. An engaged and involved CEO helps set the tone that encourages individual employees to contribute time, talents and money to help make the world a better place.”
ARC China, where Adam Roseman is the founder and CEO, advises that investors should shift out of companies that rely on overseas sales that should move towards those that sell products domestically. Such advice comes as they explain that China’s export model is in need of repair.
As Adam Roseman explained in a recent interview, “The export economy model is completely broken. They are working as fast as they can to develop their domestic economy.”
ARC China recommends, instead, to invest in Chinese retailers and similar industries, and to also invest in companies that focus on energy efficiency.
China has placed a huge economic focus on their energy-saving and carbon emission-reduction projects, allocating 210 billion Yuan ($31 billion) for these purposes.
As Adam Roseman ARC China points out, “There’s tremendous pressure from the civilian level all the way to the very senior government officials to make China cleaner,” Roseman said.