HSG, formerly Sequoia Capital China, has closed a $3 billion continuation
vehicle largely backed by its ByteDance stake, allowing some US investors to
exit the highly scrutinized Chinese tech asset, according to people familiar
with the matter. The fund attracted investors including Abu Dhabi’s Lunate and
Singapore state funds, valuing ByteDance at about $370 billion, below a recent
General Atlantic transaction valuing the TikTok parent at roughly $575 billion.
HSG first invested in ByteDance in 2014 at a valuation of about $500 million.
The deal reflects rising secondary activity in Chinese tech assets as some US
investors reduce exposure amid geopolitical tensions and regulatory uncertainty
around China-related investments.
