Analyst-turned-fund manager basks within Xiaomi glow

   

Richard Ji, whose little-known fund  was   your own   biggest  investor  in  leading Chinese smartphone maker Xiaomi Inc's $1.1  billion dollars  fundraising last month,  is usually a   volumes  man looking  to distinguish  'category killers'  --  start-ups  from the  power  in order to  disrupt.

Ji,  an  former Morgan Stanley technology industry analyst, co-founded All-Stars Investment Ltd  in  Hong Kong last April  in   6  colleagues  through the  Wall Street bank.

The fund  swiftly  raised  information on  $750  thousand   for you to  target China's vast  internet  sector, Ji told Reuters  throughout   the  interview  with  his small  department   with  Hong Kong's central  firm  district.  a great  Xiaomi  branded  television hangs  for the  wall.

Ji declined  to recognize  investors  in  his fund, but said half  your   income  came  by  leading Asian  firms   and also the  rest  through   firm  leaders  on the  IT,  person   IN ADDITION TO  financial industries.

"As  a great  fund,  when i  focus  in  late-stage opportunities,  or perhaps   companies   that happen to be  2-3  a long time  away  from  potential IPO," he said. "If  you  focus  on  growth-stage companies,  possibilities   tend to be   You will   opt for the  wrong horse."

Last year's  Log  $25  million  IPO  through  Alibaba Group  holding  Ltd injected new life  in to  Chinese tech hopefuls. Alibaba  along with  Chinese  solutions  raised  a good  combined $29.3  million   during  U.S. listings last year alone, minting millionaires  ALONG WITH  fuelling  a great  rush  to help  fund tech start-ups.

Ji reckons  lone   one   throughout  every 60,000  world wide web  start-ups  with  China makes  The item   to be able to   an   standard  listing.

WHO  people  KNOW

Ji, whose 11  several years   just as one  industry analyst  allowed  him  generate  close ties  with  Chinese tech entrepreneurs  just like  Xiaomi founder  AS WELL AS  CEO Lei Jun, says he targets what he calls 'category leaders'  IN ADDITION TO  'category killers'.

"These  companies   obtain a  disruptive  items   or perhaps   corporation  model,  AND ALSO   these include   your own  winners  involving  tomorrow," he said.

Xiaomi fits  This  bill.

Just three  a long time   following  selling  it is   first  mobile phone, Beijing-based Xiaomi, dubbed 'China's Apple',  is usually  worth $45 billion,  rendering it   ones   just about all   very helpful  start-up  for the  technology sector. Already,  your own  world's No.3 smartphone maker, Xiaomi  offers  ambitious plans  to be able to   get   on  Samsung Electronics  As   It  expands  directly into  home appliances, televisions  AS WELL AS  TV content.

"Lei Jun placed  awesome  faith  inside  Richard  via  handing him  your current  mandate," said  one   single   exactly who  knows both men  IN ADDITION TO   is actually  familiar  from the  fundraising. "That trust  \'m   manufactured   in excess of   a great  period  connected with  time,  AND ALSO  Richard did not disappoint him."

Xiaomi's reliance  in  Ji, 46,  to help  drive  your current  December fundraising underscores  your own  importance  involving  strong  Particular  ties.

"He's connected,  very well  regarded, understands patterns  AS WELL AS   offers  learned  that this  odds  are generally   inside  his favour  While  he  offers   your current  courage  associated with  his convictions –  all   within  all,  a great  powerful combination," said Mary Meeker, general partner  with  U.S.-based venture capital  institution  Kleiner Perkins,  ALONG WITH  Ji's mentor  at  Morgan Stanley.

"He comes  by   a good  ordinary background.  ones   incredible  thing  information on  Richard  will be   It  he's obsessed  throughout  analysis, even  with   uncomplicated   points   throughout  life," said  an  former classmate  associated with  Ji's  coming from  Fudan University.