Adam Roseman Online

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.

Piper Jaffray Companies recently announced a net income of $7.4 million, or $0.36 per diluted common share, for the second quarter which ended June 30, 2010.  This is a significant decrease for the figures for the first quarter of the year when figures were $127.7 million. The company’s chairman and CEO Andrew S. Duff, commented: “We had mixed performance for the quarter. We generated solid investment banking results attributable to equity financing and advisory fee revenues. These results were partially offset, however, by significantly lower fixed income revenues driven by very challenging trading conditions in the second quarter.” When working in the West Coast Corporate Finance Group at Goldman, Sachs & Co. in San Francisco, Adam Roseman was advising fortune 500 clients on their strategic mergers and acquisitions initiatives and in the Technology Investment Banking Group at US Bancorp Piper Jaffray in Menlo Park.

Part of the campaign to get the word out about the importance of being a big brother or big sister is public service announcements which express the importance, and fun which both the big and little brother experience from the relationship. In 2006 one such advertisement showed a young man about to play a game of chess with his little brother. Their joy encountering each other is shown in a graceful and gentle way.

Adam Roseman is on the Board of Trustees of Big Brothers Big Sisters of Greater Los Angeles and the Inland Empire.

Back in 2006 Big Brothers, Big Sisters of Greater Los Angeles and the Inland Empire, on whose Board of Trustees Adam Roseman sits, produced a short but beautiful public service announcement to promote to the public the simplicity but importance of being a big brother.

The PSA shows a boy, about 12 years old, and a man, throwing pebbles and small rocks into a lake while the sun is setting.  Word appears on top of the scene which says “When you are a mentor, you can go to a movie, or to the library or to a museum. But sometimes the most important thing you can do is not much at all. Be a friend, be a mentor. Just be there.”

Adam Roseman sits on the Board of Trustees or Big Brothers Big Sisters of Greater Los Angeles and the Inland Empire.

In the news at Big Brothers, Big Sisters is the announcement that the “world renowned advertising firm” DDB created a new public service announcement on their behalf. Dubbed with the title “Angel” the PSA advertisement exists in two formats, a 30 second and 60 second length “spot.”
The ad depicts a man with white, feathery wings living his ordinary life, showering, going to work, until, at the end of the day he goes to meet a young boy with whom he is going to play basketball. The message is clear that even the most ordinary person can transform himself into an angel when he helps someone by just being there.

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.”

In recent news from ARC China, Dalian Huayuankou Economic Zone and ARC China held a signing ceremony on February 9th to form the Liaoning Huayuankou Investment Fund (the “Fund”), which will be established through a joint investment totaling RMB 1 billion (approximately US$146 million).

This marks the creation of the first private equity fund in partnership with the local government in Dalian, a region with a population of over 6 million and one of the two biannual locations of Summer Davos.  The Fund will focus on investments in the industrial economy.

ARC China, with CEO Adam Roseman, will provide services to help with the development of Huayuankou area by helping local companies with their overseas marketing, by consulting with local companies about foreign capital markets, and by providing local companies with opportunities for international mergers and more.