Direct Investment In January 2022, Junlebao Dairy, a portfolio company of Starquest Capital, announced that it would take a strategic stake in Lesel Dairy, a subsidiary of Royal Group. In the future, three parties will carry out in-depth cooperation in product innovation, strain research and development, large- scale breeding, refined management, market channels and production, and jointly promote technological innovation, high-quality and sustainable development of the dairy product industry. MiningLamp Technology, a portfolio company of Starquest Capital, found out that in the late stage of the epidemic, a large portion of corporate internal communication has been transferred online, and such demands have become more and more prominent. MiningLamp recently launched an intelligence SCRM platform - MingZhi, which could integrate heterogeneous data from office automation systems and production systems, build a Knowledge Graph through data modeling analysis, study customer behavior characteristics, and so as to improve customer leads, tap potential quality customers, and in the end significantly improve conversion rate. At present, MingZhi has been commercialized in several industries such as real estate, automobile, FMCG such as BMW and Qiaohu, providing enterprises with cutting-edge business digital intelligence products and solutions. In June 2022, SUPERMONKEY officially released a new product line - SUPERMONKEY META. The main part of SUPERMONKEY META consists of an immersive classroom with a large panoramic screen, intelligent lighting and sound systems. There are also ultra-wide LED screens with 1.5-point spacing, full-frame rendering of the surreal scene, and the classroom is customized with transflective glass to project action. SUPERMONKEY META creates 12 different stages for 12 courses, and participants can customize the theme according to their needs, creating more immersive and trendy fitness environment. In June 2022, Dingdong Fresh released the Q1 financial reports of 2022. As of March 31, the first quarter revenue of Dingdong Fresh was 5.44 billion yuan, increased 43.2% year-on-year. The total number of orders reached 80.6 million, increased 15.6% year-on-year. In July, Dingdong Fresh launched its first private label of brewed beer"1972 Farm". A few refined beers are also expected to be released to consumers this summer. Dingdong Fresh has launched more than 20 self-owned brands, such as "Cai Changqing", "Dingdong King Cuisine" and "Liang Xin Craftsman". In addition, a number of Starquest portfolio companies are in process of IPOs.At present, Kaijin New Energy has filed the A share IPO application and completed the update to its prospectus this year; Tuhu Auto Services and Yuanxin Technology have submitted the A1 prospectus to the SEHK. FoF Investment Multiple portfolio companies in Healthcare and Consumption industries are in process of IPOs. On February 18, 2022, Firstred Capital's portfolio company, Hualan Bio (301207.SZ), a research and development manufacturer of human vaccines, was listed on the Growth Enterprise Market of Shenzhen Stock Exchange at an offering price of RMB56.88 per share, raising total proceeds of RMB2.276 billion. On the first day of listing, the share price increased by 24% from the offering price, and the company's market capitalization exceeded RMB28.1 billion. On March 22, 2022, Sherpa Capital's portfolio company, OBiO (688238.SS), the first public company of Gene Therapy CDMO industry, was listed on the STAR Market at the offering price of RMB13.23 per share, raising total proceeds of RMB1.323 billion. On the first day of listing, the share price increased by 66% from the offering price, and the company's market capitalization exceeded RMB10.8 billion. On June 23, 2022, Sequoia Capital's portfolio company, DeRUCCI (001323.SZ), a smart bedding brand, was listed on the main board of Shenzhen Stock Exchange at the offering price of RMB38.93 per share, raising total proceeds of RMB1,558 million. On the first day of listing, the share price increased by 44% from the offering price, and the company's market capitalization exceeded RMB22.4 billion. Besides, a number of portfolio companies of Starquest GPs' have completed next round of financing. In the first half of 2022, a number of portfolio companies of Starquest GPs' have completed next round of financing in Technological Enterprise Services, Healthcare and Consumption. Technological Enterprise ServicesSource Code Capital's’ portfolio company, MS Energy, a provider of integrated intelligent hardware and software products and services for batteries, completed hundreds of millions yuan in a Series B + round of financing, led by GGV Capital; Silicon Integrated, a provider of high-performance mixed-signal IC design, completed hundreds of millions yuan in a Series D round of financing, led by 5Y Capital, and other investors included ByteDance and Juhua Chuanxin; AI KE NONG, a provider of intelligent crop planting decision-making service, completed 100 million yuan in a Series A + round of financing, jointly led by IDG Capital and GL Ventures; Mec-Mind, a provider of solutions for AI + 3D + intelligent industrial robots, completed a Series C + round of financing, led by a global top-tier investment institution and co-invested by IDG Capital. Eastern Bell Capital's portfolio company, Inceptio Technology, a developer of autonomous driving technology for trucks, completed $188 million in a Series B + round of financing, led by Sequoia China and Legend Capital. Linear Capital's portfolio company, Hongjing Drive, a provider of intelligent autonomous driving solutions, completed a Series B round of financing over 100 million yuan, which was exclusively invested by Prosperity, a VC fund of Saudi Aramco. Firstred Capital's portfolio company, RENOGYF, a developer of new energy independent power supply system, completed hundreds of millions yuan in a Series E round of financing, led by Qianhai FOF. Panda Capital's portfolio company, Baibaojun, an insurance service search engine platform, completed 50 million yuan in a Series Pre-A round of financing, jointly led by Tsing Cheng Lu Capital and Hu Yi Capital. Gaorong Capital's portfolio company, a 3D sensor chip service provider Adaps Photonics, completed hundreds of millions yuan in a Series C round of financing, led by Meituan Longzhu, and other investors included Kinzon Capital and Gaorong Capital. Dianxiaomi, a global e-commerce SaaS service platform, announced that it completed 100 million yuan of a Series C round of financing, jointly led by Tiger Fund and Huaxing New Economic Fund of China Renaissance, and other investors included GGV Capital, VGC and Gaorong Capital; Design Order, a manufacturer of cloud-based intelligent industrial design (SaaS), completed a Series A round of financing, led by ByteDance, and other investors included Lianchuang Yongjun, Gaorong Capital, SIG, K2VC and Lenovo Capital. Zhen Fund's portfolio company, an aerospace equipment R&D provider, Orient Space, completed 400 million yuan of a Series A round of financing, led by HIKE Capital. Other investors included CMBC Capital, MiHoYo, etc. HealthcareSherpa Capital's portfolio company, HuiGene Therapeutics, a gene editing tool company, completed hundreds of millions yuan in a Series C round of financing, with its old shareholders, Sherpa Capital, CD Capital and Kunlun Capital, participating in the investment. Another Sherpa Capital's portfolio company, SensView, a solid-state imaging detector supplier, completed a Series A round of financing with the amount of tens of millions of yuan, led by Huipei Capital and co-invested by its old shareholders, such as Redhill Capital, etc. Sherpa Capital and Gaorong Capital's portfolio company, XSoft Technology, a provider of hospital operation management systemized solution, completed a Series B round of financing over 100 million yuan, with Taikang Life leading the investment and LongMave Venture Capital, its old shareholders, Sequoia China and Gaorong Capital participating in the investment. Redhill Capital's portfolio company, Sinhua Bio, an AI-driven macromolecular drug R&D enterprise, completed a round of 100 million yuan RMB of financing, led by Matrix Partners China, with Sequoia China and Redhill Capital co-investing. ConsumptionBA Capital's portfolio company, Simple Love Yogurt, completed a Series C round of financing, led by DCP and co-invested by new investors and existing shareholders, including QY Capital, Xingzhi Capital, Guangzhou Financial Control Fund and Pu Rui Capital. The new retail company, HARMAY, completed a total of around US $200 million in a Series C round and D round of financing. QY Capital led a Series D round of financingother investors included by General Atlantic, Eastern Bell Capital, Wuyue Capital and Ou Ling Investment. A SeriesC round of financing was led by Trans-Atlantic Investment Group. Gao Ling VC, Ou Ling Investment, Wuyue Capital, Eastern Bell Capital and BA Capital also participated in the investment. Torre Oria, a wine brand company, completed a Series A+ round of financing by CCF Lifford Fund . BA Capital made an investment in a new brand of coffee chain Seesaw Coffee. The investment was led by BA Capital and co-invested by CoStone Capital. BA Capital's portfolio company PMPMcompleted a strategic round of financing by Tencent. Industry Recognition Starquest Capital received multiple industry honorsIn the first half of 2022, Starquest Capital has been awarded several industry honors by FOF Research Center, FOFWEEKLY, Chinese Venture, and Outstanding, etc. FOF Research Center released the Annual Lists of 2021 on January 6. Starquest Capital was named as "TOP 20 Best Private Market-oriented FOFs 2021"; meanwhile, Frankie Fang, founding managing partner of Starquest Capital, was named as "TOP 30 Best FOFs Investors in 2021". On March 18, FOFWEEKLY released the Annual List of Investment Institutions 2021, and Starquest Capital was awarded as "TOP 20 ESG and Carbon Neutral Investment Institutions". On May 12, Chinese Venture released the Annual LPs List of 2021, and Starquest Capital was named as "China TOP 10 Best Market-oriented FOFs. On May 25, Starquest Capital was awarded as "China TOP 20 Best Market LP in 2021" and " China TOP 10 Best Direct Investment LP in 2021" in the list of Best Institutional LPs in China 2021 released by Outstanding; meanwhile, Frankie Fang, founding managing partner of Starquest Capital, was named as "China TOP 10 Person of the Year of Best Institutional LP in 2021". ESG Insight In May 2022, Mr. Frankie Fang, managing partner of Starquest Capital, was invited to participate in the panel of ESG, Sustainability and the Role of Private Markets by SuperReturn China, to share Starquest Capital's practices on ESG. In June 2022, Starquest Capital published the ESG Investment Yearbook 2021: The Time for ESG Investment". This yearbook comprehensively analyzes the current state of ESG investment in China and around the world, and the interaction of the logic of pension funds and ESG investment from the perspective of private equity investors. Starquest Capital also invited more than ten investment institutions and enterprises to provide unique ESG investment case studies in terms of their own business and practice. Mr. Frankie Fang was invited by Ba Shusong, Executive Director of the HSBC Financial Research Institute at Peking University and Chief Economist of the China Banking Association to co-write an article on "Peking University Financial Review" to discuss the interactive logic of pension funds and ESG investment. The article was published on Issue 10 of the "Peking University Financial Review" in February 2022.