* Says in the past 'we made some mistakes and sold too
* Mobile remains a core focus for the IDG Capital
BEIJING, April 14 (Reuters) - IDG Capital, a private equity
and venture capital firm, will deploy greater resources and time
in companies as they grow, in contrast to some quick exits in
the past, Global Chairman Hugo Shong told Reuters in an
IDG Capital, which together with China Oceanwide Holdings
Group recently bought tech publisher International Data Group
for an estimated $1.5 billion, will also look to increase and
extend its investments in telecoms, financial technology and
advanced manufacturing, Shong said.
The firm presently manages more than 10 funds and has assets
under management estimated at over $7 billion. It completed 17
exits, including three IPOs and 14 strategic sales, last year.
"In the past, we made some mistakes and sold too early,
because our initial fund size was too small," said Shong. "(If)
you don't have money to follow on, you can only exit."
Finding talented managers is always challenging, Shong said.
It is hard to find "entrepreneurs who can run a scalable
business ... some entrepreneurs at the early stage are pretty
good, but once you get to the size where you're managing 2000
people it can get tough", he added.
Shong did not provide any details on fundraising plans.
He said "mobile remains a core focus" for the firm.
IDG Capital's portfolio includes Meitu Inc, a
mobile hardware and app maker that raised HK$4.88 billion ($623
million) at its December IPO, Internet search behemoth Baidu Inc
and smartphone maker Xiaomi Inc.
Its recent investments include online game developer Gbits
Network Technology, interactive social video
platform Tian Ge Interactive Holdings, and CreditEase,
a wealth and credit management firm and parent of Yirendai
, an online consumer finance marketplace.
The International Data Group buyout, which closed in March,
gave IDG Capital control of the firm's venture investments in
companies spanning the United States, South Korea, India and
The deal also provided China Oceanwide, a real estate and
financial holdings conglomerate headed by tycoon Lu Zhiqiang,
control of International Data Group's publication assets, such
as Computerworld magazine, and market researcher IDC.
Shong said the buyout was an "emotional" decision, following
a promise made to International Data Group founder Pat McGovern
before his death in 2014 to maintain his businesses and
McGovern provided the funding to establish the McGovern
Institutes for Brain Research at MIT and in China.
IDG Capital's partnership with China Oceanwide came together
following a friendly lunch in Beijing during the bidding process
after each had submitted a separate offer, Shong said.
IDG Capital also has many industrial technology investments.
In March, it and other Chinese investors completed the buyout of
Ledvance, an LED maker, from Munich-based lighting group Osram
GmbH for 500 million euros ($531 million).
($1 = 0.9422 euros)
($1 = 7.7730 Hong Kong dollars)
(Reporting By Matthew Miller; Editing by Himani Sarkar)