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Case
| HBS Case Collection
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2005
(Revised from original 2005 version)
Gobi Partners: October 2004
by
G. Felda Hardymon and Ann Leamon
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Abstract
The general partners of Gobi Partners, a venture fund located in Shanghai, are trying to decide the best way to raise money for their first fund. Their strategy of investing in early-stage digital media companies in China was well-received by strategic investors--IBM and NTT DoCoMo are cornerstone investors in the fund--but classic institutional investors are wary of such a targeted approach, despite the team's successful track record with different private equity groups. Over a year after their first closing at $30 million, the limited partners are urging Gobi to raise the balance of its $100 million fund. But how, without either abandoning the strategy that has won them a measure of success in such a short time or bringing on more strategic investors with goals that might conflict with those currently in the fund?
Keywords: Decision Choices and Conditions;
Venture Capital;
Private Equity;
Investment;
Goals and Objectives;
Emerging Markets;
Problems and Challenges;
Conflict Management;
Shanghai;
Citation:
Hardymon, G. Felda, and Ann Leamon. "Gobi Partners: October 2004." Harvard Business School Case 805-090, November 2005. (Revised from original January 2005 version.)