Zhongguancun park helps firms raise funds
By Liu Jie and Yang Cheng (China Daily)
Updated: 2004-08-02 09:03

Zhongguancun Science Park, one of China's pioneering high-tech zones, is striving to help small and medium-sized companies raise funds from the overseas market.

Dai Wei, deputy director of the administrative committee of Zhongguancun Science Park, said the government would join with overseas investment and intermediate institutions to provide consulting, designing and agent services for small and medium-sized high-tech enterprises in the park.

"On the one hand, we are targeting attracting more overseas venture capital for high-tech start-ups and returned overseas students' enterprises in our incubators," said Dai.

On the other hand, the government encourages powerful and qualified enterprises to become listed on the overseas market.

"Overseas investment and intermediary institutions are expected to play active roles, as they have rich experience in overseas fund-raising," said Dai.

Fan Boyuan, Beijing's vice-mayor, said that, to guarantee the smooth implementation of the scheme, the government should make efforts to improve exit of venture capital, information exposure and guarantee systems.

"A set of measures to standardize the business performance of the small and medium-sized enterprises in the park is expected to be formulated this year," said Dai.

Sources from the administrative committee say that the Zhongguancun Science Park Investment and Fund-raising Promotion Centre is at present busy preparing a schedule and it is expected to be launched by the end of the year.

"The centre will be engaged in consolidating current fund-raising resources, establishing a related data base and co-ordinating various financial institutions," said Dai.

The park has long been devoted to improving the investment and fund-raising environment for high-tech enterprises, said Ren Ranqi, vice-director with the administrative committee of the high-tech park.

China-Zhongguancun Technology & Equity Exchange was opened in March 2003.

Over 700 high-tech projects were listed at the exchange last year and transaction volume exceeded 3 billion yuan (US$361 million).

This year the exchange and the Beijing Equity & Assets Exchange were restructured into the China Beijing Equity Exchange.