HIKE Capital’s Seventh Anniversary | Continuously Identifying the Exceptional Few Driving Paradigm Shifts

As HIKE Capital marks its seventh anniversary, the long journey of our Hikers has taken another small stride forward. On this occasion, we summarize our achievements and vision through three focal points: What have we relentlessly pursued over these years?

• 01 Over 2,555 days and nights of arduous work, HIKE Capital has invested in companies driving industry-wide transformations.
• 02 Our enduring mission is to consistently identify, at the earliest stages, entrepreneurs who propel paradigm shifts in their industries. We commit to supporting and empowering them to achieve commercial success in this era of profound transformation.
• 03 To realize these goals, we must continuously attract and retain like-minded partners who share our ideals to march forward together.

2022 remains a year of transition between old and new cycles. The global economy faces deep stagflation, geopolitical and military conflicts persist, the decades-long tide of globalization recedes, and capital markets resemble a rollercoaster ride. For China’s venture capital industry, 2022 has been the most externally disruptive year in its nearly three decades of vibrant growth.

For HIKE Capital – a founders’ fund – 2022 has also been a year of deep reflection and growth on the theme of cycles. As the world enters a new era characterized by the “three highs and one low” (high inflation, elevated interest rates, towering debt levels, and sluggish growth), the growth logic of the past decade has shifted. The adjustment period brings immense centrifugal forces; only by enhancing capital efficiency and strengthening core corporate competitiveness can enterprises fully prepare to navigate cycles.

Amid an uncertain future, what investment choices should HIKE make?

We remain steadfast in our discipline: lifelong learning, courage to back early-stage “non-consensus” opportunities, relentless pursuit of truly exceptional companies, and rigorous protection of safety margins. Prices will always fluctuate around intrinsic value—as long as we persistently create genuine value, the market will ultimately deliver fair recognition.HIKE Capital maintains unwavering conviction in China’s enduring innovation and investment opportunities. As a founders’ fund, we actively engage in the restructuring of China’s industrial landscape and technological revolution, collaborating with a new generation of entrepreneurs to build truly global enterprises. Our track record over the past seven years validates our evolving methodology while prompting continuous reflection on past missteps.

Among 282 U.S.-listed Chinese companies, only 22 have historically achieved market capitalizations exceeding $30 billion. Li Auto (NASDAQ: LI), one such enterprise, stands as a testament to HIKE’s 2,555 days of relentless effort. Its CEO, Li Xiang, pioneered the definition of extended-range electric vehicles. RELX (NYSE: RLX) and RELX International’s founder, Kate, spearheaded global product innovation, with their ESG practices ranked first globally in their sector by MSCI. CARS Group, China’s leading used-car platform under Hao Yong’s leadership, has facilitated millions of transactions while reducing carbon emissions by millions of tons. Orienspace, guided by top aerospace experts and CEO Yao Song, explores new paradigms for China’s commercial space industry. Dr. Zhuang Li, CEO of Megatronix Technology, actively advances “software-defined vehicles.” Halara, led by tech visionary Joyce, creates high-quality, tech-driven activewear at accessible prices. Yuanbao Insurance, led by CEO Fang Rui, leverages technology to democratize insurance access for millions of families. FlashEx, under CEO Xue Peng, defines the one-to-one urgent delivery standard while creating 1.5 million flexible jobs. HIKE also takes pride in having supported leading online education companies—Spark Education, Yuanfudao, and Fenbi (02469.HK)—which continue to deliver quality learning services within compliant frameworks.

We are deeply honored to have partnered early with these paradigm-shifting innovators.

At seven years young, HIKE remains a “youth” in venture capital—a vibrant, upwardly mobile institution.

Having navigated multiple fund cycles from fundraising to exits, including IPOs and diverse liquidity events, we channel hard-won lessons into sharpening our expertise for future cycles. Time alone does not confer growth; it is the trials that frighten, challenge, and refine us that spur progress. True growth lies in embracing difficult reflection and evolving through adversity—without such cognitive transformation, time is powerless.

Each of us is a thread in the fabric of our era. For every HIKE partner, daily efforts converge toward one purpose: investing in companies that redefine industries. This is our founding mission. Along our entrepreneurial journey, we persistently seek kindred spirits who share our hunger to identify paradigm-shifting founders at their earliest stages.

We uphold principles: respect for fundamentals, unwavering discipline, lifelong learning, and continuous evolution. In cyclical upheavals, survivors with superior resilience and competitiveness prevail. Partners who embrace these values are HIKE’s most cherished allies.

Having weathered downturns and booms alike, we recognize history’s perpetual rhythm. When we carry torches through darkness, their collective glow forms a path forward—a beacon of hope to scale new summits.

HIKE aspires to become a generational force in technology investing, steadfastly supporting explorers of innovation. Through action, we aim to participate in history’s unfolding narrative, stand alongside truly great companies, and leave a modest yet enduring imprint on the march of civilization.

Xu Shi
Founding Partner, HIKE Capital

Steadfast to our original aspiration, perseverance paves the path to fulfillment. This is but the beginning.