Beijing: China’s venture capital market has posted a strong growth of 70% in the second quarter of 2008, with the IT sector accounting for 42.1% of the total enterprises that attracted investment.
During the April-June period, 159 enterprises secured venture capital, with a combined capital of $1.2 billion in 143 of the firms which have revealed the amount of investment, official Xinhua news agency reported.
Expanding enterprises made up for 85 of the firms, or 53.5%, involving $682 million in venture capital or 56.6% of the total investment. Another 26 were matured enterprises, with $373 million, accounting for 16.4% and 31.0%, respectively, of the total.
While IT sector accounted for 42.1% of the total enterprises that obtained venture capital, or 45.9% of the total investment, traditional sectors formed 22% and 19.9 % respectively, of the total.