2024-12-20
On December 6, 2024, the 7th Venture Capital Responsible Investment Forum was successfully held in Lujiazui, Shanghai. Frank Yang, Founding Partner and CEO of BOCG, was invited to join the roundtable discussion on “Healthcare Innovation and Well-Being”, engaging in in-depth dialogue with fellow participants.
This high-profile forum was organized by the China PE ESG Initiative For Dual Carbon Goals (CID) and supported by Ford Foundation, Shengshi FoF, and joined by 200 representatives from government agencies, foundations, financial institutions, investment firms, tech enterprises, family offices, and think tanks. Renowned speakers from globe shared insights, while leading executives from top institutions explored key market trends and co-created a new ESG ecosystem for China’s private equity industry.
Frank Yang participated in the Roundtable discussion of “Healthcare Innovation and Well-Being”, alongside other panelists.
During the panel discussion, Frank highlighted the growing trend of Chinese biopharma companies “going global”. Recent years have seen dozens of licensing deals between Chinese pharmaceutical firms and global players, valued at nearly $10 billion in single year. The “NewCo” model has emerged as a popular structure for international investors to participate in Chinese biotech firms’ overseas assets. These trends underscore the innovation capacity of Chinese biopharma companies and the necessity and feasibility of expanding globally. In addition to the U.S., which remains the primary market for licensing deals, Frank emphasized the importance of Europe as a strategic market which is the second-largest innovation-driven pharmaceutical market after the U.S., with robust ecosystems comprising world-class research institutions, multinational pharma companies, a dynamic SME sector, and a strong payer system. BOCG has successfully supported its portfolio companies in entering the European market, achieving remarkable results. Amid evolving U.S.-China geopolitics, Europe presents a long-term opportunity for strategic growth.
Frank also emphasized the intrinsic social responsibility of biopharma companies. Innovative drugs and therapies significantly contribute to patient well-being and societal progress. However, unethical practices, such as illegal sales, must be condemned and eliminated. He stressed the importance of compliance throughout the drug development process, adhering to regulations and industry standards to prevent harmful incidents. In respect to corporate governance, it is important to improve transparency, strengthen board leadership, and safeguard shareholder interests and ensuring fairness and accountability.
As one of the first professional healthcare investment funds in China to join the UN Principles for Responsible Investment (UN PRI), BOCG integrates ESG principles into its investment processes. BOCG actively supports its portfolio companies in fulfilling their corporate citizenship responsibilities and advancing impact investing practices.
