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Q2 2023

PitchBook Analyst Note: Chinese Tech Conglomerates’ Split Expected to Shake Up VC

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Alibaba’s split maps out a new model for tech success in China

China’s internet sector is looking to rebuild after a yearslong crackdown has shaken VC investor confidence.

The breakup of Alibaba into six units could pioneer a success roadmap and test the nation’s recently revamped IPO system. Meanwhile, the Chinese government has been feeling increased pressure to boost a COVID-battered economy, which should lead to softened policies.

Our latest analyst note explores how the restructuring of giants like Alibaba and JD.com could impact the region’s VC market.


Table of contents
Key takeaways 1
Introduction 2
What is happening? 2
Recent government initiatives on China’s IPO market 4
Potential impacts on the VC market 7