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Table 1: National Venture Capital Pools in Asia by Country and Year, in Billions of

U.S. Dollars

Year China Hong Kong Indonesia Japan Korea Malaysia Philippines Singapore Taiwan Thailand
1991 76 15352 1547 75 16 868 412 64
1992 878 57 16028 1629 147 26 896 470 90
1993 1422 99 17750 1687 160 58 1013 508 98
1994 2384 225 17750 1902 194 85 1833 562 117
1995 3458 245 14851 2567 437 123 3164 696 165
1996 3612 8019 289 11254 3224 448 166 3981 1336 201
1997 3500 9632 426 7722 1857 406 169 4468 1913 177
1998 3112 14462 328 12513 2995 460 224 5258 3598 242
1999 3735 21203 333 21729 4986 667 292 7791 4447 265

* China and Hong Kong are combined by the Asian Venture Capital Journal, however it is more accurate to keep them separate,
because of their very different characters. In this report, the countries are treated differently.

Table 2: Venture Capital Disbursements by Country and Year

Year Hong Kong/China China Indonesia Japan Korea Malaysia Philippines Singapore Taiwan Thailand
1990 800 N/A 5 3999 1014 16 7 291 220
1991 1048 N/A 8 5943 1210 22 10 399 297
1992 193 65 18 405 111 10 8 120 61
1993 520 242 11 322 111 34 8 186 148
1994 1042 645 37 322 443 62 14 236 132
1995 2089 678 99 1467 745 73 16 240 216
1996 1350 609 55 1429 1139 58 16 461 429
1997 988 N/A 62 992 920 49 12 388 643
1998 1378 N/A 34 927 609 53 54 424 881
1999 1985 N/A 48 2296 1253 81 65 1060 1043
Source: AVCJ various years
Table 3: Distribution of Investment by Stage in the U.S., Europe, and Asia, 1999 in percent*

Stage U.S. Europe Asia


Seed/Early 22 22 21
Expansion/Mezzanine/Later 73 26 57
Buyout/Turnaround/Other 5 52 18

* The NVCA (2000), EVCA (2000), and AVCJ (2001) define their categories differently making it difficult to compare the
aggregating it into these relatively broad categories. For example, the NVCA is very careful to exclude private equity fund
quite as rigorous in its definitions, and finally the EVCA simply includes private equity investors in its industrial associatio
totals.
Table 4: Distribution of Investments by Industries in U.S., Total Asia, and Various Nations by percentage in 19991

Industry U.S. U.S. Asia Japan Korea Taiwan Singa- Hong China Indo- Malaysia
1998 19992 pore Kong nesia
Online 17.1 38.5 8.95 5.8 5.3 24.6 15.0 6.3 5.9 8.7 13.9
Communications 17.3 17.4 11.4 9.2 13.4 7.5 15.8 16.4 5.8 8.3 7.4
Software & 20.0 15.6 N/A N/A N/A N/A N/A N/A N/A N/A N/A
Services
Medical 12.5 5.1 3.93 1.6 2.4 2.1 10.2 5.1 3.8 5.2 2.1
Semiconductors 4.3 3.6 N/A N/A N/A N/A N/A N/A N/A N/A N/A
Consumer 5.6 3.6 10.0 10.3 6.3 2.4 12.1 13.9 11.7 15.5 7.9
Computer-related 2.9 2.7 9.97 9.7 9.8 25.1 8.4 6.5 6.7 5.9 7.7
Biotechnology 5.4 2.5 N/A3 N/A N/A N/A N/A N/A N/A N/A N/A
Industrial/Energy 2.3 1.6 21.0 4 18.2 19.6 9.2 8.4 25.6 37.5 22.8 23.2
Electronics6 N/A N/A 10.3 12.1 15.7 15.3 14.5 6.3 6.0 21.1 15.2
Financial Services8 N/A N/A 10.1 17.5 15.4 2.1 5.8 6.3 2.1 5.4 0.3
Other 12.7 9.5 14.5 15.6 12.1 11.7 9.8 13.6 20.5 7.1 22.3
1
The NVCA uses different categories than AVCJ, so these comparisons are rough approximations.
2
This should be treated with caution because the online-related is anamalously high in 1999.
3
This includes biotechnology.
4
For Asia this is a summation of the categories Manufacturing Heavy & Light, Infrastructure, and Utilities.
5
In Asia this is termed "Information Technology."
6
This is non-computer related electronics and there is no comparable U.S. category.
7
This includes U.S. categories of Computer Hardware, Software, & Semiconductors.
8
There is no similar category in the U.S.
9
Vietnam had an unusually high percentage of investments (11.6 percent) in agriculture. No other country had more than 4 percent.
Table 5: Geographical Sources of Venture Capital for the Various Asian Nations, 1999

Country Total Home Asian Non-Asian


(in US$ millions) (in percent) (in percent) (in percent)
China 3,735 28 33 39
Hong Kong 21,203 7 16 77
Indonesia 333 42 40 18
Japan 21,729 82 3 15
Korea 4,986 75 5 20
Malaysia 667 51 24 25
Philippines 292 40 15 45
Singapore 7,791 27 35 38
Taiwan 4,447 85 4 11
Thailand 265 35 22 43
Vietnam 318 14 6 80
Total all Asia 65,766 39,610.17 8,845.39 26,215.7
In percent 100.2 46.7 13.5 39.9

Source: AVCJ 2001


Table 6: Destination of National Venture Capital Disbursements by Nation
by Percent in 1999

Country National Other Asia Non-Asia


China 93 4 3
Hong Kong 10 86 4
Indonesia 100 0 0
Japan 86 5 9
Korea 94 2 4
Malaysia 92 6 2
Philippines 89 10 1
Singapore 18 59 23
Taiwan* 74 11 15
Thailand 89 9 2
Vietnam 74 16 10

Source: Asian Venture Capital Journal 2001


* The significant flow of venture capital to other Asian nations is disputed by the
Taiwanese Venture Capital Association that finds Taiwanese investment in Other
Asia as being 5 percent, while Non-Asia is 21 percent.
Table 7: 2000 Asian University Ranking by Academic Reputation

Rank Multi-Disciplinary Schools Location Academic Reputation


1 Kyoto University Japan 20
2 Seoul National University Korea 19.17
3 National University of Singapore Singapore 19.13
4 Taiwan University Taiwan 18.44
5 University of Hong Kong Hong Kong 17.57
6 Keio University Japan 17.43
7 Tohoku University Japan 16.47
8 Waseda University Japan 16.38
9 University of Malaya Malaysia 16.06
10 Chinese University of Hong Hong Kong 15.92
Kong
11 Yonsei University Korea 15.92
12 Korea University Korea 15.83
13 University of the Philippines Philippines 15.6
14 Nagoya University Japan 15.09
15 Tsing Hua University Taiwan 15.09
16 Hong Kong University of Science Hong Kong 14.91
and Technology
17 Kyushu University Japan 14.5
18 Chao Toung University Taiwan 13.62
19 Hokkaido University Japan 13.62
20 Thammasat University Thailand 13.39
21 Pusan National University Korea 13.07
21 Cheng Kung University Taiwan 12.98
22 Sun Yat-sen University Taiwan 12.8
23 Ewha Womans University Korea 12.66
24 Sogang University Korea 12.43
25 University of Indonesia Indonesia 12.39
26 Xi'an Jiaotong University China 12.29
27 Chiang Mai University Thailand 12.02
28 Gadjah Mada University Indonesia 11.93
29 Taiwan Normal University Taiwan 11.83
30 Kasetsart University Thailand 11.79

Source: AsiaWeek (2001)


Table 8: 2000 Asian Science and Technology Schools Ranking by Academic

Rank School Location Academic Reputation


1 Tokyo Institute of Technology Japan 20.00
2 Korea Advanced Inst. of Science & Tech Korea 19.42
3 Nanyang Technological University Singapore 18.71
4 University of Science & Technology of China China 17.65
5 Pohang University of Science & Tech. Korea 17.60
6 Science University of Tokyo Japan 16.50
7 Nagoya Institute of Technology Japan 16.35
8 Taiwan University of Science & Tech Taiwan 15.73
9 Huazhong University of Science & Technology China 14.10
10 Tokyo Denki University Japan 14.05
11 Institute of Technology Bandung Indonesia 13.91
12 Muroran Institute of Technology Japan 13.76
13 Hong Kong Polytechnic University Hong Kong 13.72
14 King Mongkut's Inst. of Tech Ladkrabang Thailand 12.95
15 South China University of Technology China 12.81
16 Technological University of Malaysia Malaysia 12.71
17 Beijing University of Posts & Telecommunications China 12.61
18 Hohai University China 11.99
19 King Mongkut's University of Technology Thonburi Thailand 11.56
20 King Mongkut's Inst. of Tech North Bangkok Thailand 11.27

Source: AsiaWeek 2001

Table 9: Important Western Corporate Venture Capitalists Operating in Asia

Corporation Amount Date Nations Other


(US$ millions)
Cisco 1,005 2000 All Partnership with Softbank
Ericsson 177 2000 All Partnership with
Hutchison Whampoa and
Investor AB
Intel N/A mid All Internal operation
1990s
Nokia Ventures* 500 2000 All Will consider Asian
investments
Sun Microsystems 50 2000 All Partnership with local
VCs

* Not dedicated to Asia, but will consider Asian investments

Source: Author's compilation


Table 10: New NASDAQ-like Stock Markets in Asia

Nation Name Date No. of Stocks


Traded as of January
1 2001
Hong Kong GEMS 1999 83
Japan Mothers 1999 341
Japan NASDAQ 2000 56 2
Japan
Korea KOSDAQ 1996 6561
Malaysia MESDAQ 1999 3
Singapore SESDAQ 1997 92 3
1
As of August 2001
2
As of June 2001
3
As of June 2001, there were 103 listed
Source: Author's compilation

Table C1: Venture Capital Investments in China by Sector,


1998-1999 in $US millions*

1998 1999
Agric/Fisheries 8 3
Computers 154 227
Conglomerates 0 0
Construction 128 168
Consumer prod. 411 398
Electronics 172 203
Ecology 0 0
Financial services 65 70
Information tech. 53 200
Infrastructure 723 759
Leisure/entertain. 0 4
Manuf. - heavy 238 221
Manuf. - light 42 71
Media 11 16
Medical 61 128
Mining & metals 0 0
Retail/wholesale 28 31
Services - nonfinan 112 127
Telecommunications 144 197
Textiles & clothing 5 11
Transport/distri 297 257
Travel/hospitality 86 93
Utilities 259 224
TOTAL 2997 3408

* These represent the entire portfolio and not the annual investment. These are the only two years for which data is
available. In prior years the categories were different.

Source: Asian Venture Capital Journal 1999, 2001.


Table C2: Walden International Group Investments in China

Firms Product Partner


A-S Plumbing Products Plumbing fixtures American Standard
China
Central Semiconductor Semiconductor foundry
Mfg.
Eagle Brand International Ceramic tiles and
sanitaryware
iSwitch Internet and software
Mindray Co. Imports medical
equipment
Newave Inc. Fabless IC firm
Owens Corning Foamular Extruded foam parts Owens Corning
Co.
Singamas Refrigerated Refrigerated containers
Container Co.
Skyworth Digital Television sets
Wuxi Little Swan Co. Washing machines

* Walden International Investment Group www.wiig.com (May 19, 2001).

Table C3: Chinese Universities Ranking

Rank General and Science Schools Location Overall Score


100%
1 Tsinghua University Beijing 99.17
2 Peking University Beijing 86.33
3 Nanjing University Nanjing 74.83
4 Fudan University Fudan 68.49
5 University of Science & Hefei 65.87
Technology of China
6 Zhejiang University Hangzhou 64.81
7 Nan'kai University Tianjin 58.08
8 Shanghai Jiaotong University Shanghai 55.93
9 Tianjin University Tianjin 51.71
10 Harbin Institute of Technology Harbin 50.8
11 Wuhan University Wuhan 50.39
12 Beijing University of Aeronautics Beijing 49.85
& Astronautics
13 Beijing Normal University Beijing 47.92
14 Tongji University Shanghai 47.63
15 Xi'an Jiaotong University Xian 47.62
16 Huazhong University of Science & Wuhan 47.09
Technology
17 Beijing Institute of Technology Beijing 46.59
18 Southeast University Nanjing 46.1
19 Jilin University Changchun 45.44
20 Zhongshan University Guangzhou 43.32

Source: AsiaWeek 2001


Table C4: Provincial and Local Venture Capital Funds Announced in China

Jurisdiction Type of Jurisdiction Amount Source (in U.S. $ millions)


Anhui1 Province N/A Province
Canton2 Province $50 million Govt. agencies
Jiangsu3 Province $78.5 million Province
Liaoning4 Province 100 Yuan Province
Dongfang Software
Shandong 5 Province 1,000 Yuan Province
Shanghai6 Province 600 Yuan Province
Shanxi7 Province $15 million Province
Shenyang8 Province N/A Province
Beijing9 City 500 Yuan City = $10 M
WI Harper = $40 M
Chengdu 10 Development zone 100 Yuan Development zone
Chongquing 11 City 60 Yuan City = 50 M
Local banks = 10 M
Harbin12 City N/A N/A
Shanghai Pudong Development zone N/A N/A
Shenzhen 13 City N/A Many programs
Suzhou 14 City N/A N/A
Wuhan15 City N/A N/A

1
People's Daily Online. 2000. "China's Anhi Sets Up First Private Venture Capital Company." (June 19).
2
Asian Venture Capital Journal. 2001. Page 284. This is direct quote, but it is located in Guangzhou Province
3
Asian Venture Capital Journal. 2001. Page 295. Management firm is Shanghai Wings Venture Capital.
4
People's Daily Online. 2000. "Liaoning Sets Up Venture Capital Firm." (March 23).
5
People's Daily Online. 2000. "East China Province to Establish Venture Capital Fund." (May 24) RMB 100m
Venture Fund to Start Operation in Chengdu.
5
People's Daily Online. 2001. "Hi-Tech Venture Capital Fund Available in Chongquing." (March 31).
6
China Economic Review. 1999. "Shanghai's New Venture Capital Fund." (September): 12.
7
Asian Venture Capital Journal. 2001. Page 295.
8
Bassolino, Francis. 2000. "In Search of Growth, China Turns to High-Tech Venture Capital Funds." Harvard China
Review (April 13).
9
www.chinasite.com. 2001.
10
People's Daily Online. 2000. "RMB 100m Venture Fund to Start Operation in Chengdu." (September 29).
11
People's Daily Online. 2001. "Hi-Tech Venture Capital Fund Available in Chongquing." (March 31).
12
ChinaOnline. 1999. "Ventuer Capital in China: Enter at Your Own Risk." (January 6).
13
ChinaOnline. 1999. "Ventuer Capital in China: Enter at Your Own Risk." (January 6).
14
ChinaOnline. 1999. "Ventuer Capital in China: Enter at Your Own Risk." (January 6).
15
ChinaOnline. 1999. "Ventuer Capital in China: Enter at Your Own Risk." (January 6).
Table H1: Sources and Destinations of Hong Kong Venture Capital

Source (percent) Destination (percent)


Hong Other Non- Hong Other Non-
Kong Asia Asia Kong Asia Asia
1999 7 16 77 10 86 4
1998 9 19 72 9 89 2
1997 6 16 78 8 89 4

Table J1: Share of Portfolio Companies by Industrial Sector

Share of New Portfolio Companies Share Of New Portfolio Amount


FY 98 FY 99 2000/4~ FY 98 FY 99 2000/4~
Online Specific 3.8 11.6 21.4 4.4 15.0 21.9
Computers 20.4 22.0 13.8 24.1 25.3 12.4
Consumer Related 7.9 8.3 13.0 3.8 10.4 10.8
Business Services 7.5 10.1 6.9 7.9 18.8 9.8
Semiconductors/Other Elect. 21.8 13.9 8.6 26.4 15.6 8.7
Finance/Insurance/Real Estate 3.2 2.5 3.3 1.8 0.4 7.6
Communications 1.0 2.7 5.7 3.7 3.9 7.2
Manufacturing 16.6 12.4 10.0 8.5 -1.8 7.1
Medical/Health 1.5 2.1 4.2 1.7 3.1 2.5
Biotechnology 3.7 1.7 2.0 9.7 2.7 1.7
Construction 3.7 3.7 2.7 2.7 1.7 1.4
Industrial/Energy 1.7 1.2 1.5 1.2 0.6 0.8
Transportation 1.1 0.6 0.8 1.1 0.3 0.5
Agriculture/Forestry/Fishing 0.4 0.2 0.0 0.0 0.0 0.0
Utilities 0.0 -0.1 0.0 0.0 0.0 0.0
Others 5.8 7.0 6.1 3.2 3.9 7.5
Total 100.0 100.0 100.0 100.0 100.0 100.0
IT-related 46.9 50.1 49.5 58.5 59.9 50.3
Valid replies (companies) 49 64 34 49 64 34

Note 1: Fiscal 98 is the year from April 98 to March 99. Fiscal 99 is from April 99 to March 00, and the
quarterly data is from April to June 2000 (hereafter).

Note 2: The figure for "IT-related" was calculated by simply adding online specific, computers, and
semiconductors/other elect. and communications.

Source: METI (2001: 13) .


Table J2: Japanese Venture Capital Investments by Stage
Years After 1998/7~1999/6 1999/7~2000/6
Founding
Companies Percent Amount Percent Companies Percent Amount Percent
(millions of (millions of
dollars) dollars)
Start-up 19 4.4 251 1.3 41 3.7 2,010 3.0
Less than 5 127 29.7 9,516 48.9 481 43.7 40,004 59.2
years
5 years to less 65 15.2 1,735 8.9 197 17.9 10,094 14.9
than 10 years

10 years to 72 16.8 1,664 8.5 169 15.4 7,644 11.3


less than 15
years
15 years or 145 33.9 6,306 32.4 212 19.3 7,838 11.6
more
Total 428 100.0 19,472 100.0 1,100 100.0 67,590 100.0
Source: METI (2001: 11).

Table J3: Venture Capital Investment by Geographical Area

Location Share of New Portfolio Companies Share of New Portfolio Amount


FY 98 FY 99 2000/4~ FY 98 FY 99 2000/4~
Hokkaido-Tohoku 2.6 3.3 1.9 0.6 2.0 0.7
Kanto-Koshinetsu (other 7.2 6.9 6.9 2.3 3.4 4.5
than Tokyo)
Tokyo 32.3 40.7 35.1 22.2 35.7 32.1
Tokai-Hokuriku 4.3 3.9 3.5 1.6 1.9 1.8
Kinki (other than Osaka) 2.6 3.6 3.4 1.3 1.8 2.0
Osaka 5.2 6.7 9.9 2.2 3.8 6.4
Chugoku-Shikoku 2.8 2.6 1.2 1.5 1.6 0.7
Kyushu-Okinawa 2.7 3.8 3.1 1.7 2.5 4.0
Total in Japan 71.8 83.5 87.2 53.0 70.8 71.5

Asia/Pacific 14.2 8.8 9.4 37.1 23.7 22.8


North America 11.0 6.3 3.4 8.7 5.0 5.6
Other 2.9 1.4 0.1 1.1 0.5 0.0
Overseas Total 28.2 16.5 12.8 47.0 29.2 28.5

Grand Total 100.0 100.0 100.0 100.0 100.0 100.0


Number of valid replies 47 64 34 47 64 34

Source: METI (2001: 14).


Table J4: Recent Investment Exits for Venture Capitalists

Number of Cumulative Share 98/7~99/6 Share 99/7~00/6 Share


Companies Number
IPO 2,432 64.0 125 42.5 259 48.9
Bankruptcy 491 12.9 106 36.1 107 20.2
M&A 53 1.4 13 4.4 24 4.5
Other 826 21.7 50 17.0 140 26.4
Total 3,802 100.0 294 100.0 530 100.0
Note: Valid replies from 53 companies.

Source: METI (2001: 12)


Table J5: Listing Requirements for the Japanese Exchanges

MOTHERS NASDAQ JASDAQ (OTC)


JAPAN
Standard Growth
1 2 3 1 2
Number of 300 new at 400 300 Under 10 million = 300
Shareholders the time of Under 20 million = 400
public Over 20 million = 500
offering
Minimum # of 1000 500 Over 500000 Over 500000
Shares Per or 30%
Public of floats
expected
Profit Income N/A 100 N/A N/A Shareholders' Positive Net N/A
million Equity 400 Income
yen million yen or
Market
Capitalization of 5
billion yen or
Pretax Income of
75 million yen
Shareholders' N/A 600 1.8 N/A Over 200 N/A
Equity million billion million yen
yen yen
Market 500 million N/A N/A N/A N/A Over 500
Capitalization yen million yen
Total Assets & N/A N/A N/A N/A N/A
Total Sales
Public Float N/A 1100 1000 N/A

Operating N/A N/A 2 years N/A One year or N/A Less than 10
History Market years old
Capitalization 5
billion yen
Market Value of N/A 800 1.8 2 billion 500 million yen N/A
Public Floats million billion yen
yen yen

Source: Various documents


Table K1: Cumulative Investments by Type by the First Four Korean Venture Capital Firms (in
$million and percent of total)

KTDC KTFC KDIC KTAC

Equity
243 (8.5) 73 (4.2) 53 (55.1) 19 (21.0)
Investments

Loans 2412 (84.2) 1582 (90.4) 34 (35.0) 58 (63.3)

Lease 197 (6.9) 56 (3.2) 3 (2.9) 0 (0.0)

Factoring 84 (0.4) 39 (2.2) 7 (7.1) 15 (15.7)

Total 2864 (100.0) 1750 (100.0) 97 (100.0) 92 (100.0)

Source: Ministry of Finance and Economy 1996

Table K2: The Three Kinds of Venture Capital in Korea (1992-1999)

Features SMESS Act NTEFS Act KTB Act

Regulator Ministry of Trade and Ministry of Finance Ministry of Science


Industry and Technology
Investment Target Small and medium- Small and medium Mostly Small and
sized manufacturing sized new medium sized
enterprises aged 5 years technology enterprises
or less enterprises
Type of Financing Equity investment Equity investment, Equity investment,
Loan, Leasing, Loan, Leasing,
Factoring Factoring

Source: Author's compilation


Table K3: Average Returns for Various Korean Venture Capital Formats and Banks

1989 1990 1991 1992 1993 1994 1995 1996


SMESS 3.1 2.9 2.1 3.0 2.6 2.4 2.2 4.3
NTEFC 6.9 6.8 3.5 5.5 8.8 11.1 10.7 10.9
KTB 15.8 9.9 11.9 12.0 18.4 18.9 9.1 7.7
Bank 5.9 7.0 7.2 7.5 7.0 8.5 3.9 3.5

Source: Ministry of Commerce and Industry (1997) and the Bank Inspection Board (1997)

Table K4: The Formation and Closure of Korean Venture Capital Partnerships by Year

1986-1996 1997 1998 1999 2000 Total

New
80 22 15 82 191 390
Establishment

Withdrawal 9 9 6 26 18 68

Cumulative Total 71 84 93 149 323 323

Source: Small and Medium Business Administration (2001)

Table O1: Sources of Capital for the Malaysian Venture Capital Industry

Year Government Corporations Banks Insurance/ Individuals Others


Pension
1992 31 33 27 8 0 0
1993 41 32 18 7 0 2
1994 29 37 15 6 0 13
1995 38 40 7 2 0 13
1996 38 40 7 2 0 12
1997 48 29 11 3 1 9
1998 41 29 16 6 1 7
1999 45 30 17 6 1 2
Table S1: Investments by Various Singapore Government Entities in Venture Capital**
Other Location* Amount Date
Invested by
EDB
3I London $100M 2000 Passive investor. Office in Singapore
Acer Ventures Taiwan ? ? Office in Singapore
Advent International SEAVI Boston ? ? Office in Singapore
Apax New York ? ? Office in Singapore
Asia Java Venture Fund Singapore ? 1999 Co-investment with Sun
Microsystems
AsiaTech Ventures Hong Kong ? Office in Singapore
Charles River Boston ? Early 1990s Passive investor
Chartered Silicon Ventures Singapore ? 1997 Joint venture HP, Chartered, & EDB
Chrysalis Capital India ? 1999 Investment in India
Crimsonventures Palo Alto ? ? Greater China strategy
Crystal Internet Venture Fund II Cleveland ? 1997? Internet investments
Doll Capital Management Menlo Park ? 1999 Passive investor
Draper, Fisher Jurvetson (e-planet) Menlo Park $100M 2000 Office in Singapore
Fortune Investment Group Taiwan $15M 1999 Passive investor?
Giza Venture Partners Israel ? 1997 Office in Singapore
Global Catalyst Partners Silicon Valley ? 1999 Passive investor
Granite Global Ventures Palo Alto $100M 2000 Joint investment w/ Venrock. Office
in Singapore
H&Q Asia Pacific San Francisco ? ? Passive investor, office in Singapore
HP Ventures Silicon Valley ? ? Office in Singapore
IGlobe Partners Singapore ? 1999? Local firm
InfoTech Ventures San Francisco S$17 1997 Walden Ventures managed
Investor AB Sweden 200 2000 Wallenberg family
Jumpstartup India ? 2000 Investment in India
Keppel TatLee Bank Singapore ? 1999 Loans to startups
McLean Watson Toronto ? 2000 Establish office in Singapore
Morgenthaler Ventures Palo Alto ? ? Passive investor
Pacific Venture Partners Taiwan ? ? Establish office in Singapore
Polaris Ventures Israel ? 2000 Passive investor
Sanderling Ventures San Diego ? ?
Sequoia Capital Menlo Park ? 1999 Passive investor
TVM Technoventures Germany ? 2000 Passive investor
Viviventures France ? Investing in France and U.S.
Walden International Investment San Francisco ? ? Office in Singapore
Group
Warburg Pincus New York ? ? Office in Singapore
Whitney & Co. New York ? ? Office in Singapore
WI Harper San Francisco ? ? Greater China strategy
* Headquarter's location.
** All information is to the best knowledge of author and was compiled from many sources. Singapore
has many entities that invest.

Source: Author's compilation from a variety of sources.


Table T1: Taiwanese Venture Capital Investments by Stage and Year (in percent)

Stage 1992 1993 1994 1995 1996 1997 1998 1999


Seed 6 4 8 9 15 8 7 6
Startup 28 23 14 13 16.1 16 19 23
Expansion 41 41 42 48 55.2 50 49 47
Mezzaine 24 30 36 28 16.5 24 22 22
Other 1 2 1 2 1.7 2 3 2
All columns may not add up to 100 due to rounding error.

Source: AVCJ various years

Table T2: The Cumulative Number of Taiwanese Venture Capital Funds by Vintage Year

Year Number
1984 1
1985 2
1986 3
1987 6
1988 9
1989 13
1990 20
1991 22
1992 24
1993 27
1994 28
1995 34
1996 53
1997 74
1998 124
1999 132

Source: Author’s calculations from AVCJ 2001

Table T3: Location of Taiwanese Venture Capitalists' Investment Preferences*

Nation None* Taiwan U.S. China Singa- Japan Hong Malay- Thai-
pore Kong sia land
Mentions 41 30 29 9 6 5 4 4 4

* 72 firms were used. All of those headquartered somewhere else were omitted. All citations of less than four
were omitted. This meant one that listed "Asia-Pacific" generally was omitted.
** When no preference is mentioned, it is likely that Taiwan is the preference.

Source: Author's calculations from AVCJ 2001


Table T4 The Location of Taiwanese Venture Capital Disbursements, 1992-1999 in percent

Year Taiwanese Other Asian Non-Asian


Firms Firms Firms
1992 71 1 29
1993 75 0 25
1994 79 2 20
1995 76 6 18
1996 74 4 23
1997 71 2 27
1998 71 13 16
1999 74 11 15

Source: AVCJ various years

Figure 1: Similarities among Venture Capitalists from Various Nations

Bank-Driven Systems Venture Capital Exporters Silicon Valley-Like Enigma


1. Japan 1. Hong Kong 1. Taiwan 1. China
2. Korea 2. Singapore 2. Singapore

Difficult Environments Government Handicapped Under Performers


1. Indonesia 1. Philippines 1. Philippines
2. Vietnam 2. Malaysia 2. Malaysia
3. Thailand 3. China 3. Korea
4. Philippines 4. Korea 4. Japan

Source: Martin Kenney


Figure C1: Chinese Venture Capital, Total Pool of Funds, New Funds
Raised, and Investment, 1992-1999

4000

3500
Total Pool
3000
in US $ millions

New Funds Raised


2500 Investment
2000

1500

1000

500

0
1992 1993 1994 1995 1996 1997 1998 1999
Figure J1: Japanese Venture Capital Investments by Year and Type
Note: Amounts are based on exchange rates for June 30 of each specified year.

10,000

9,000

8,000
Investment Amount (in millions)

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0
1985 1986 1987 1989 1990 1991 1992 1994 1995 1996 1997 1999 June-

Corporate 403 706 978 1,619 2,523 3,694 4,242 5,941 6,399 7,406 4,634 3,525 4,081
Fund 211 313 363 672 926 1,357 1,742 2,685 3,109 2,733 2,704 2,901 3,602
Loan Balance 617 1,222 2,120 3,617 6,598 7,571 7,635 4,250 2,787 1,999 1,554 635 571

Source: Venture Enterprise Center Annual Surveys cited in Hamada (2001) and METI (2001)
Figure K1: Number of Korean Venture Capital Firms from 1995 to 2000

Figure K1: Number of Venture Capital Companies from


1995 to 2000

160 147
140
120
100 87
72
80 60
48 54
60
40
20
0
1995 1996 1997 1998 1999 2000

Source: Small and Medium Business Administration, 2000

Source: Korean Small and Medium Business Administration (2000)

Figure K2: Trading Volume on KOSDAQ from 1996 to 2000

60,000,000
Trading Volume (unit: 1K share)

51,050,304 50,481,933
50,000,000

40,000,000

30,000,000

20,000,000
8,647,396
10,000,000
35,416 47,191 205,653
0
1996 1997 1998 1999 2000 June-01

Source: www.kosdaq.co.ko
Figure K3: The Balance between Equity and Loans in Investments by Korean Venture Capital
Partnerships

1600000
Amount of Investment (in million won)

1200000

Loans
800000
Investments

400000

0
1993 1994 1995 1996 1997 1998 1999.10

Source: Anonymous "The Korean Venture Capital Industry, 2001.


Figure K3: The Balance between Equity and Loans by Korean Venture Capital Partnerships

1600000
Amount of Investment (in million won)

1200000

Loans
800000
Investments

400000

0
1993 1994 1995 1996 1997 1998 1999.10

Source: Anonymous "The Korean Venture Capital Industry, 2001


Figure K4: Distribution of Korean Venture Capital Firms by Type, 1990, 1997, 2000

90
83.4
80
70 69.8
60
Percentage

Corporate subsidiary
50 52
Financial subsidiary
40
Independent VC
30 28
20 20.8 20
10 9.4 12.4
4.2
0
1990 1997 2000

Source: Korean Venture Capital Association (1998) and AVCJ (2001)


Figure T1: The Ideal-Typical Organization of Venture Capital Firm in the U.S. and Taiwan

The Ideal-Typical Organization of Venture Capital Firm in the U.S.

salary
Venture Capital Firm
Partners
(organized as a partnership)
Capital
Gains

2-3% annual fee Management


20-30% carried 1-5% total
interest investment*

Venture Capital Fund


(organized as a partnership)

One-time return of
cash or securities Cash

Limited Partners
(no involvement)

The Ideal Typical Organization of the Venture Capital Firm in Taiwan

Salary
Dividends Profit-sharing?
Venture Capital Firm
Owners Employees
(Organized as a corporation)

Stock shares
2% fee Management
20% carry (little co-investment 1%)

Venture Capital Firm/Fund


(Paper company)

Shares
Cash Dividends

20% tax
deduction Government
Investors – owners of until 1999
company

Source: Martin Kenney