In recent years, the phenomenon of setting up industrial funds by state-level funds, central enterprises and local funds is becoming a new trend in the equity investment market. China Building Material New Material Fund, which focuses on the trillion-level new material market, is one of the typical representatives. In the cold winter of capital in
recent years, the establishment of China Building Material New Material Fund has attracted much attention. It is understood that the industrial fund was formally established in July 2021, with a total scale of 20 billion yuan and an initial scale of 15 billion yuan , focusing on investing in new materials such as inorganic non-metallic materials, organic polymer materials, composite materials, special metals and other materials.
In particular, it is worth mentioning that the LP line-ups of the CNBM New Materials Fund is luxurious : there are state-level funds such as the National Manufacturing Transformation and Upgrading Fund and the China State-owned Enterprise Mixed Ownership Reform Fund. There are also local investment platforms in Anhui Province, such as the Sanzhong Yichuang Industrial Development Fund. There are not only central enterprises such as Guoxin Holdings and China Building Materials Group , but also https://price.ccement.com/brandnewslist-1-1000026. There are also well-known investment institutions such as CITIC Securities and Shenzhen Venture Capital.
After more than two years of layout, what is the investment performance of China Building Material New Material Fund? In addition, the team is also exploring the track of "small and beautiful" subdivision materials.
Up to now, the fund has invested more than 29 projects with an investment amount of nearly 8 billion yuan. Star projects include "one-stop" semiconductor material service platform Shanghai Xinsheng, semiconductor 12-inch silicon wafer manufacturer Yisiwei, polysilicon material manufacturer Xinhua Semiconductor, third-generation power semiconductor product research and development and manufacturing enterprise Changfei Advanced, isostatic pressure graphite material and product manufacturing enterprise Five-Star New Material, etc.
"Although it is under the central enterprise system, our concept is still market-oriented.". The team has been contacting the market and understanding the market for a long time, looking for the most needed technology application innovation projects in the market. Moreover, the core members of our team are fully bound to the interests of the investors when they invest in the fund. Guo Hui said.
At the same time, he also talked about his understanding of the trend of setting up and managing industrial funds by state-owned enterprises. Guo Hui believes that the industrial fund is the group's external investment portal, not to say that it is enough to carry out the tasks assigned by the group. Through the market-oriented operation of industrial funds, we can coordinate the upstream and downstream resources of the industrial chain, help the group to make the existing main business bigger and stronger, and find new growth poles for the group and other investors. In the trillion-level market
where
opportunities and challenges coexist, the new material industry focused by the new material fund of building materials has a huge market space. It is understood that in 2023, the total output value of China's new material industry reached about 7.
In such a large-scale industry, a large amount of capital is being invested in it. Data show that in the decade from 2014 to 2023, investment in new materials has maintained an overall growth trend. In 2022, China's equity investment industry invested nearly 130 billion yuan in the field of new materials. In 2023, the amount of investment declined, but also exceeded 100 billion yuan. From the point of view of subdivision track, battery materials are the most attractive subdivision track in the field of new materials in 2023, followed by semiconductor materials and organic polymer materials.
Guo Hui said that the main investment opportunities in the field of new materials lie in, first of all, the large market space, involving all aspects of social economy. Secondly, some new materials have high technical threshold and considerable profit level. Thirdly, some subdivisions belong to the blue sea in China, with scarcity and good growth.
"But challenges also come with it. First of all, there are many and scattered sub-tracks in the field of new materials, and the span between them is very large.". For investors in the industry, investing in different segments of the track needs to master the corresponding professional knowledge, and there are many hard work to do in the early stage. Guo Hui said, "Second, investment in new materials is greatly affected by the policy environment, periodicity and life stage of downstream applications.". Thirdly, the industry's R & D investment is large and the investment cycle is long, which requires the courage and patience of long-term bets for investment institutions.
Taking the previous investment of China Building Materials Group in the carbon fiber industry as an example, Zhongfu Shenying, which was listed on the Science and Technology Innovation Board in 2022, is the first listed company of China Building Materials Group. Relying on the innovation of dry-jet wet spinning technology, the company has realized the industrial mass production of carbon fibers of different grades, such as T700, T800 and T1000, which fills the gap of high-end carbon fiber technology in China.
China Building Materials Group's M & a investment in Zhongfu Shenying was first made more than ten years ago. The company has been in the investment period for ten years. China Building Materials Group has invested two or three hundred million yuan annually to support its technological fortification. Eventually, Zhongfu Shenying achieved technological breakthroughs, bringing about the improvement of production capacity and the reduction of costs, and then landed in the capital market.
"For market-oriented investment institutions, it may be difficult to spend ten years investing in a loss-making company.". China Building Materials Group has such strength to support enterprises to tackle key technical problems, and ultimately enterprises are recognized by the market, and the group has also obtained a good return on investment. Guo Hui said.
< IMG SRC = "According to https://img7.ccement.com/richtext/img/8utzsdw0zcg1716255811432. Guo Hui, specifically, The orientation of CNBM New Materials Fund has three aspects.
One is to ensure the security of the national supply chain, that is, to solve the bottleneck of national technology and industry, to ensure the safety of the new material industry chain, and to gradually realize independent substitution.
The second is to promote new material technology to cross the "Valley of Death", that is, to promote scientific and technological innovation and breakthroughs in key core technologies, and to help new material innovation technology to cross the "Valley of Death" smoothly.
Thirdly, we should cooperate with the investors to cultivate the industrial ecology, that is, to give full play to the advantages of the group and the fund investor cluster, to expand and strengthen the existing new material business, and to cultivate the new material industry ecology.
"We put solving national problems in the first place, and attach importance to promoting scientific and technological innovation in the industry and fostering the industrial ecology of new materials.". Conversely, investment in technology and technological innovation will certainly bring good returns on investment. Guo Hui said. Of the nearly 30 projects invested by the fund, 90% are projects to solve uncontrollable problems. These projects have advanced technology and high industry barriers, and the gross profit rate of enterprises is often very high, which can bring good return on investment.
It is worth noting that some subdivisions are crucial to the development of the national industrial chain, but their market space ceiling is relatively low. For market-oriented investment institutions, there is no incentive to invest in them. For China Building Materials New Materials Fund, it will still invest in such subdivisions.
In the industrial funds participated by local investment platforms, there is often a demand for return investment and investment attraction. What is the effect of return investment after the cooperation between China Building Material New Material Fund and Anhui local government? Guo Hui said, "Anhui itself is a big province of new materials, the basic conditions of the industrial chain are better, we are willing to invest locally, and many invested enterprises are willing to settle down locally.". In the process of building industrial ecology, it is natural to complete the task of returning investment.
It is understood that since the establishment of China Building Material New Material Fund, China Building Material Group has invested more than 15 billion yuan in Anhui Province, and the fund has docked more than 80 projects in Anhui Province. At the same time, the fund directly invested in 8 projects in Anhui Province, with an amount of 14.
Finally, reviewing the overall development of the CNBM New Materials Fund, Guo Hui said that in the first three years of the fund's establishment, it was mainly to lay the foundation, build the brand and build the ecology. Now, these goals have been basically achieved, and the team will focus more on ecological construction at this stage.
Specifically, the first is to form an interactive industrial chain ecology among the invested enterprises in the investment layout. Second, at the New Material Enabling War New Industry Partnership Conference held at the end of April, the New Material Investment 50 Forum was formally established. After that, various investment institutions will gradually form a communication and cooperation mechanism and establish an ecological environment for new material investment. The three is to cooperate with universities and research institutes to establish the ecology of innovation chain.
