Shanghai, China. Photo: iStock
Shanghai, China. Photo: iStock

Shanghai has launched a new fund-backed “cluster town” called Hongqiao Venture Capital Harbor on Monday, with the aim of gathering entrepreneurial venture capital with rich experience and financial strength, to create a so-called cluster effect, The Paper reported.

It was reported that the first batch of fund companies intended to enter the area have successfully signed contracts, including the National Civil-military Integration Industry Fund, Wu Yuefeng IC Industry Fund, Cenova Healthcare Industry Fund, Yitian New Energy Industry Fund, as well as Shanghai Venture Capital Association.

The current fund size is about more than 50 billion yuan (US$7.34 billion).

Zhang Saimei, general manager of Shanghai Innovital Capital, said the town enjoys the strategic support of the eight major parent funds, and enterprises inside the town will receive support from them and enjoy the convenience of fundraising.

The town is still in construction and the overall project will be completed in June 2019.