Thursday, July 11, 2019
Registration and refreshments
Opening keynote address
Asian Private Equity: where next?
Now representing 26% of the global private equity ecosystem, Asian private equity has achieved heavyweight status, with deal value and exit value again reaching record highs last year. Successful GPs have focused on finding niches within popular sectors, delivering thoughtful value creation, and fulfilling the exit potential for Asia. However, the market still faces challenges, with dry powder at an all-time high, competition for deals intensifying, overheated Internet and technology sectors, and macroeconomic headwinds on the horizon, fund managers need to be increasingly creative in order to deliver alpha. Our leading Asian fund managers share their insights into the future of Asian private equity.
- What is the correct investment thesis for Asian private equity?
- What techniques and capabilities are managers building to source deals more effectively?
- How are fund managers incorporating ESG into their investments and value creation strategies?
- What are managers’ outlooks for the region in 2019 and beyond into 2020?
Japan: reaching its potential
In recent years, Japanese private equity has firmly been in the spotlight. At all stages of the market, private equity investors have demonstrated an ability to identify the right targets in the right industries, added value, and delivered attractive exits. Naturally, with interest so high, fund sizes have increased and competition has intensified. Moving forward, fund managers must remain disciplined and have clearly defined strategies to ensure continued success in the market. Our panel of experts will share their views on how Japan can keep the momentum going.
- Where are the best opportunities: mega-deals, mid-market, or lower mid-market?
- Which sectors are providing the most attractive deals?
- What initiatives have worked to deliver value creation in investments?
- How is the exit market evolving and what multiples can be expected?
Networking coffee break
India: On the cusp
With deal value reaching record levels, Indian private equity momentum has continued to propel the industry forwards—the Internet and technology sectors are providing good deal flow, and exits continue to deliver. For established GPs, it is now all about diligent deal sourcing that looks deeper into sectors for attractive or justifiable valuations, and spotting sub-sectors that still have the potential for strong growth. Developing effective value creation plans with hands on input from managers, as well as coming up with the right exit strategy is also crucial. Political uncertainty, intense competition, and high expectations for pricing when selling are notable concerns. Our panel of experts discuss what is next for Indian private equity.
Chinese private equity: Continuing to evolve
Chinese private equity faced a tricky 2018 with economic growth moderating, a decline in consumer sentiment, and antagonism between the US and China over trade. For GPs, the focus remains on fundamentals and growth, but there is more emphasis on sectors that will benefit from structural growth rather than previous macro tailwinds. GPs are adapting and honing their strategies so that they can take advantage as the economy opens up to more private investment. However, transition is hard, and speed is a frustration for fund managers. Coupled with the potential for an impasse on trade, managers must work even harder to define what will continue to drive success in China. Our panel will analyse developments and showcase their approaches.
- How is the GP landscape evolving, what is the reality of doing buyouts in China, and is specialism becoming more prevalent?
- What is the right approach for delivering value creation in China?
- Which capabilities or partnerships should GPs be developing in order to take advantage of upcoming opportunities and challenges?
- Has China solved its exits problem, and will regulatory reform mean more IPOs?
Southeast Asia: Navigating the opportunities
Southeast Asia continues to peak LPs’ interests and remains an underpenetrated part of the private equity market in Asia. 2018 saw an uptake in deal momentum—especially in Indonesia and Vietnam—with the consumer, Internet, and technology sectors seeing most of the activity. For GPs, challenges surrounding valuation expectations, a lack of ability to influence portfolio companies, and a lack of consistent exits means there is still capacity for fund managers to differentiate themselves by tackling these issues. Our Southeast Asia experts share why investors might want to take another look.
Chinese venture capital: Capturing the opportunity
Chinese start-ups received 32% of invested global venture capital—up from 4% five years ago. With abundant interest in the Internet and technology sectors, the landscape has changed dramatically. Established players are developing new product offerings to take advantage of opportunities at each stage of the investment spectrum, corporate investment arms continue to grow, spinouts are still emerging, and traditional private equity players entering the market present a myriad of options for investors. Picking the right partners will be key in the next phase of development. What is clear, however, is that China has established itself as a true force in innovation, AI, and big data. Our experts share their thoughts on what is next for Chinese venture capital.
- Which strategies have been the most successful in Chinese venture capital?
- Where should the focus be in the overheated technology and healthcare sectors, and where else can you find value?
- Is value creation now an important part of the investment plan?
- How is the venture capital landscape evolving, and what will Chinese venture capital look like over the coming years?
Networking coffee break
Data presentation: The truth behind the numbers
LP panel: Asia - Picking the winning partnerships
In recent years, as returns have reached and in some cases exceeded expectations, Asia has strengthened its position as an essential part of a diversified portfolio. As investors flock to larger funds with proven track records, upper quartile performance at the smaller end of the market, and the ever-popular Internet and technology sectors, the market is bifurcating. Investors need to make sure that even the winners can demonstrate the right skillset to deliver on new strategies and product offerings, while maintaining the ability to deliver value if market conditions change. Our panel will share their approaches and the top factors for successful investing Asia.
- What is an optimal Asian private equity strategy?
- What frustrates investors the most about relationships with Asian managers?
- How do LPs view co-investment opportunities in the region, who are the right partners, and how has this evolved over recent years?
- Has Asia proved itself in regard to exits, how is the secondaries market developing, and what new innovative structures are there?
Close of conference