Liu haofei, founding partner of shengjingjia chengmu Fund: experience and thinking of incubation innovation in digital economy

Editor Xu Bi Duan   Jiangqianjun
On December 8, the "Foshan City Industrial Innovation exchange conference of wise 2020 new economic conference" was opened in Beijing International Conference Center on the occasion of the new decade of new economy. This meeting is jointly hosted by Foshan Municipal Bureau of Commerce and 36 krypton. Nearly 200 Unicorn enterprises, well-known investors, science and technology innovation entrepreneurs, etc. discuss the historical opportunities under the double cycle around the track of advanced manufacturing, new energy, biomedicine and new materials.
Liu haofei, founder of shengjingjia parent fund, was invited to share the theme of "incubation method of digital economy combining industry" for us. Liu believes that technology is the trend of the general situation, digital will permeate all industries, and industrial Internet will reconstruct all industries. From experience, Shengjing Jiacheng puts forward the development direction of incubator of "empowerment + investment", and extracts the "five one" methodology combining entrepreneurs, industry leaders, local governments and parks.
▌ the following is the full text of Liu haofei's speech, which was edited by 36 krypton:
Dear leaders from Foshan, distinguished guests, and 36 krypton partners, good afternoon. I am very glad to share some of our experiences here. My topic is "incubation method of digital economy combining industry". This is some experience we have summarized in the whole incubation innovation and investment process of the past decade, and some thoughts on how to combine entrepreneurs, how to lead industries and how to combine local governments and parks.
We have just mentioned the review of the past and the future. We think that the next ten years, 20 years or even have a big and directional trend. This trend is irreversible: we call technology down, and all the problems we talk about about neck clasp are to find the foundation at the bottom. Consumption is the direction of the development of a better economy. Our consumption is changing constantly, in stratification, upgrading and changing. In this direction, we think that to put it together is that digitalization will permeate all industries, and industrial Internet will reconstruct all industries.
Especially in this case, we see many stores that have not been operated online in the past, because the epidemic has digitized (educated) and online (drained) users and put the operation online. Up to now, although offline stores operate during the day and open online stores at night for live sales, this is a big trend. We think that the industrial Internet solves the problem of digitalization and Internet based on the consumer Internet, from consumption to upward, called "consumption and supply". In this way, we can improve a large number of supply side efficiency, and reconstruct many structures, thus completing the Internet of the entire industrial chain. It's a big trend.
In this trend, we talk about one of the points, is how to combine the industrial digital leaders to carry out digital incubation. Why can we talk about it? We Shengjing Jiacheng has been the parent fund in the past six years, covering the world's best innovation projects, including China, the United States and Israel. We are also the indirect shareholders of 36 krypton. We think that investors in the U.
We also see that in China, especially in the reform of capital markets, we have enjoyed a huge dividend of registration system. In the third quarter just ended, Shengjing Jiacheng's direct investment and parent fund completed 22 projects listing in 90 days, including A-shares listed in China, listed in the United States, listed in Hong Kong, including American companies and Israeli companies. It is very difficult for Israeli companies to complete IPO. Many projects were earlier, and we had started layout. Our investment is "parent Fund + direct investment". In the direction of direct investment, we prefer early heavy empowerment and incubation. When we had a discussion with ZhongGuanCun last week to discuss how to do a good job in the development of incubator, we put forward a view: to help incubators armed to face the future and make business adjustment in the way of "empowerment + investment".
Shengjing has some practice. In addition to Shengjing Jiacheng, Shengjing Jiacheng's brother company is called Shengjing Internet association, which has done a lot of comprehensive empowerment of innovative enterprises, including training, capital, financing, brand and so on. All of these are all we have done. It seems scattered. The way we do it is to generalize the following: to make the enabling product. After making it into a product, it makes the product itself profitable, so that it can form a positive incubation. The poverty alleviation of viah is poverty alleviation and innovation. In the past, she only "gives", but she does it by selling and donating. We do empowerment, we are not only to give, we are to make this Fu sustainable and product-oriented, so we have two product series, one is Unicorn Growth Camp series, and our latest new series, called super single product series, which are some product forms refined by us in incubation Fu.
Combined with industrial leaders, we know Foshan is a manufacturing base. What kind of path does the industrial leader make the second curve? We also share some of our practice summary, called CIC, we are familiar with the speech method called CVC. We think CVC may actually be better understood. In fact, it is a combination of private capital and external raised funds to invest some early venture capital projects. It is a capital composition in today's VC industry.
But what about CIC? It is more inclined to early stage and more to incubation. In fact, the listed company is an innovative company jointly initiated by joint venture companies in the form of participation or holding shares to give full scope of empowerment. This stage is earlier and belongs to the mode of "joint venture + incubation". This way is very helpful for the industrial leaders and start-ups to open the second curve. The model of "listed company +pe" we are talking about today is no longer working, because the listed companies have a problem of "left pocket and right pocket" when they are fund. When we talk to people who have been working on investment banks for more than ten or more years, we all think that the "listed company +pe" model is a false proposition, and we have proved the failure of this model today.
But in fact, we see CIC, which is the way that listed companies hatch investment. Compared with CVC, its overall size requires less capital and lower investment risk. Why? Although the stage is earlier, but because of its stronger controllability, the investment risk is lower in fact, and the influence on incubation enterprises and teams is higher. At the same time, it also requires that the industrial leaders of listed companies have more participation, and be able to fully empower and cooperate with more resources in coordination with each other. This is the CIC mode. We think that there are some innovative significance to pilot CIC model in Foshan.
This model combines the development of the grand scenery in Zhongguancun for more than ten years, and we have many years of practice. The first chain in incubation stage can build a comprehensive and diversified innovation, which helps listed companies open the second curve, and increase and improve the certainty of scientific and technological innovation. We know that today's development is called innovation driven development. In the innovation driven, the innovation force actually comes from the scientific and technological innovation. Whether it is scientific and technological innovation or consumption innovation, we should improve the success rate and certainty of innovation, which is an effective means. The second is the ability to accelerate the gathering of digital industry. We can see that the reason why ZhongGuanCun has such a high degree of digital development today is actually because there are many factors gathered, including many different aggregation factors, such as capital, talents, technology, universities, marketing, etc. CIC, an early incubation investment method, can help the aggregation of digital industry elements better, and help listed companies achieve the second curve.
Today's CSRC has actually allowed listed companies to divest new businesses and be listed separately. This is a reward for the future in capital. We can incubate a new business of listed companies under such a large technology.
In the specific CIC innovation, the methodology we refine is the ecology of "five one", including the innovation of Israel introduced by us, including our National Development Zone in Nanjing, the introduction of academicians of Tsinghua University, and the joint implementation of National Laboratory of artificial intelligence to jointly build a new research and development institution. We refine it into "five one", which is actually five important elements. Combining this important element together may produce chemical reactions.
The first is local government and park, which is the leading Party in this element. It can effectively guide and set corresponding policies to gather various innovation subjects to help build the ecology.
The second is the enabling platform of CIC, as an innovative linker. Shengjing Jiacheng plays such a role in Zhongguancun's innovation service. Because we are connectors, we have invested 70 GP and more than 100 funds around the world. Therefore, we connect a large number of innovation enterprises around the world, and we indirectly cover more than 2000 global innovation enterprises. We can connect innovative companies, innovation forces and innovative innovators together, and we can empower, manage and train our projects to help them grow independently.
The third is a group of listed companies and industrial companies. Because they have more resources, fixed customers and market cognition, they help start-up projects to build new business logic in their ecological system.
The fourth is CIC master fund or cooperative fund. If the industry is relatively large, multiple funds can be invested through the master fund. Only by enlarging the capital outside, the venture capital project can be truly marketized.
Fifth, we build a high-end network of scientific research institutions. The Artificial Intelligence Research Institute, which we set up in Nanjing this year, is actually a new research institution. The new research institutions are designed to meet the pain points of large enterprises and the innovation needs of large enterprises. Although the scale of large enterprises is large, few can build their own artificial intelligence research institutes, or build their own research capabilities. We can help him build a outsourcing and public research capability through this new research institution. This is also a very important part of our construction in these five elements.
Finally, give the government a suggestion, which includes several aspects:
If we can combine innovation and empowerment with CIC, the government can do some research on relevant policies, create a new ecology, initiate and support the establishment of CIC guidance fund to give policy support, and combine the incubator of CIC with what we see in Israel, Israel is called the chief scientist office, and now it is called IAA, Their support for incubators and incubators can reach up to 85 percent of their capital contribution, even with loans, and then take risks.
The establishment of the government led parent fund and cooperation fund, the investment of the project is enlarged, the introduction and establishment of high-end research institutions, policy subsidies and support can be given, and the combination can be combined to make "five one" play a full role.