PE firms cash in China investments as equity prices soar

Private equity firms are cashing in on their China investments at a quick pace, as soaring domestic stock markets push valuations to record levels. The speed at which PE stakes are being sold has been accelerated by firms’ disappointment in the returns generated by their Asia investments. However, some PE firms have been regretting their decisions to sell equity stakes after valuations continued to surge months after they made their exit. Gabriel Li, managing partner of Orchid…