HSG, the China-focused investment firm, is in preliminary talks to raise at least US$1.2 billion for an early-stage dollar fund focused on AI, healthcare, and consumer startups, people familiar with the matter said.

The company is also considering a growth fund and separately exploring a yuan-denominated fund, though the size and timing of those funds have not been determined, the people said.

The raise would be HSG’s first dollar fund since it split from its US counterpart three years ago, when regulators in China and the US increased scrutiny of cross-border investment ties.

HSG managed about US$55 billion in assets as of January 2025. The fundraising effort comes as several China-focused venture capital and private equity firms seek fresh overseas capital for AI, biotech, and consumer investments.

🔗 Source: Bloomberg

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