Venture-Capital Firm Sequoia to Separate China Business as Political Tensions Rise

Subscribe to a bundle to unlock all coverage by Caixin Global and the WSJ.

By Jing Yang

Venture-capital powerhouse Sequoia will separate its China and other Asia operations from its U.S. business, as it navigates an increasingly complex geopolitical landscape and escalating tensions between Beijing and Washington.

Sequoia told its investors Tuesday that it will split into three independent partnerships that would be distinct firms with separate brands.

The planned moves, which would be completed by March 2024, would see its U.S. and Europe venture-capital business continuing to be known as Sequoia Capital. Sequoia China will change its English name to HongShan, which is what it is currently called in Mandarin. 

In India and Southeast Asia, the firm will be known as Peak XV Partners. The three units will stop sharing back-office functions such as IT, finance and accounting, according to a note to investors.