According to the Financial Associated Press Star Mine data, as of now, there are a total of 220 consumer listed companies in the A-share market that have established private equity funds or industrial merger funds.

It was learned that Luweikaiteng (Guangzhou) Consumer Equity Investment Fund Partnership Enterprise (limited partnership) was officially established recently.

The registered capital of the fund is approximately 0.94 billion yuan, with business scope in private equity fund equity investment, investment management, asset management activities. The executive partner is Luweikaiteng (Chengdu) Private Equity Fund Management Co., Ltd.

Tianyancha business information shows that the partners of Luweikaiteng (Guangzhou) Consumer Equity Investment Fund include Luka (Hainan) Investment, Luweikaiteng (Chengdu) Private Equity, Guangzhou Wentou Technology Innovation, Guangdong-Hong Kong-Macao Greater Bay Area Cultural Industry Investment, Southern Beauty Valley, and Guangzhou Kaidu Yunhui, among six companies.

As of now, Luka (Hainan) Investment Partnership Enterprise (limited partnership) has a subscribed capital of 0.47 billion yuan; Guangzhou Kaidu Yunhui Business Management Co., Ltd. has a subscribed capital of 0.12 billion yuan; Southern Beauty Valley (Guangzhou) Group Co., Ltd. has a subscribed capital of 0.1 billion yuan; in addition, Luweikaiteng (Chengdu) Private Equity Fund Management Co., Ltd. has a subscribed capital of 0.01 million yuan.

In fact, Luweikaiteng, LVMH's private equity fund, is gradually deepening its layout in the Chinese market.

The Sci-Tech Innovation Board Daily reporter noticed that before 2020, Luweikaiteng's investment in the Chinese market was relatively cautious. In 2013, the former L Catterton's fund L Catterton Asia invested 0.3 billion yuan in Guangdong Marubi Biotechnology. In 2019, Marubi went public successfully, and after the lock-up period, L Catterton successively cashed out over 1 billion yuan.

At the beginning of 2020, with Chen Yue, who had worked at the private equity giant TPG for nearly 20 years, joining L Catterton as the Managing Partner for Asia, L Catterton's investment team in China was significantly strengthened. In 2021, L Catterton's Beijing office was officially opened, marking its comprehensive increase in investment layout in the Chinese market.

In the same year, L Catterton successively invested in new consumer tracks such as Yuanqi Senlin and Xicha. Regarding these two investments, according to an article published by their official WeChat account in March 2022 titled 'A Report Card from L Catterton', L Catterton summarized, "This allows us to have peers in the food and beverage sector, which enables us to have a closer understanding of the new consumer groups in China, and also gives us the opportunity to help more new consumer brands accelerate their growth with global recognition."

In 2022, L Catterton completed the first round of fundraising for its first RMB fund, with a size of around 1 billion yuan. At the same time, L Catterton officially announced its Chinese name as 'L Catterton' and established the first phase of the RMB fund in Chengdu High-tech Zone.

In the Chinese market, apart from Yuanqi Senlin and Xicha, brands such as 'Bernatian Tsun', beauty brand Guangdong Marubi Biotechnology, luxury goods e-commerce platform Secoo, and recombined collagen enterprise Shanghai Yimin Commercial Group have all received low-key investments from L Catterton.

In addition to investing in Chinese consumer brands, L Catterton's investment cases in this sector are global, including Glaceau Vitaminwater from the USA, Scotland's craft beer brewery Innis & Gunn, premium fruit juice smoothie brand Odwalla from the USA, Australia's kombucha brand Remedy, and organic ready-to-drink tea brand Sweet Leaf Tea from the USA.

According to data from Caijing Venture Investment & Zhongtong, as of now, L Catterton (Chengdu) Private Equity Fund Management Co., Ltd. has invested in a total of 64 companies involving 76 investment events, with 14 of them happening domestically. It is noteworthy that out of these 14 domestic investments, 10 occurred after 2023.

Is the consumer fund on the rise?

Recently, women's fashion brand Dazzle Fashion also announced that its wholly-owned subsidiary will participate in the Changsha Jiayu Consumer Fund initiated by Suzhou Weiteli.

It is reported that the Changsha Jiayu Consumer Fund (including feeder fund) has a target total size of up to 1 billion yuan, with the initial fundraising size already reaching 0.652 billion yuan. The fund will mainly invest in the csi consumer 360 index industry, covering both domestic and cross-border consumption sectors.

For Dazzle Fashion, this is not the first time it has ventured into consumer fund investments. As early as 2020, Dazzle Fashion has decided through internal deliberations to invest in the establishment of the Golden Pu Dazzle Emerging Consumer Fund through a wholly-owned subsidiary. At that time, Dazzle Fashion or its designated wholly-owned subsidiary may invest as much as 0.15 billion yuan, accounting for 30% of the total size of the fund.

According to data from Clca Star Mine of Caifinance, as of now, there are a total of 220 consumer listed companies in A shares that have established private equity funds or industrial mergers and acquisitions funds. In addition, among the listed companies, Shanghai Yimin Commercial Group has established the Shanghai Detong Yimin Consumer Industry Equity Investment Fund Center (limited partnership); Tian Tu Capital has established the Shenzhen Tiantu Xingpeng Consumer Industry Equity Investment Fund Partnership Enterprise (limited partnership) and the Shenzhen Futian District Tiantu Tangrenshen Innovative Consumer Equity Investment Fund Partnership Enterprise (limited partnership) consumer funds.

"This not only reflects market trends, but also demonstrates the investment community's deep recognition of the potential of the Chinese consumer market." Wang Xiaokang, Founding Partner of Mud Lotus Capital, said in an interview with the Star Daily that whether it is LV or Dazzle Fashion, this move shows an optimistic attitude towards the rise of Chinese consumer brands.

In his view, whether in the primary or secondary market, the current stage is an excellent time to invest in Chinese consumer brands. Major investment institutions are actively seeking high-quality projects in hopes of sharing the dividends of the rapid growth of the Chinese consumer market. This trend undoubtedly injects new vitality and impetus into the future development of Chinese consumer brands.

In Wang Xiaokang's opinion, successful CVC investment cases from listed companies like Xiaomi, JD.com, and Tencent continue to emerge, indicating that CVC investment is gradually becoming a mainstream investment method. "Currently, there are many undervalued assets, providing companies with a good opportunity for merger and expansion of ecological businesses. Companies should seize this opportunity and accelerate their development."