Jenny Lee Says Some Asian Startups She Sees Are Preparing for IPOs Earlier

Granite Asia senior managing partner Jenny Lee said later-stage companies her firm sees are preparing for initial public offerings (IPOs) at ages four to five, an earlier timetable than average. She put the average holding period before a company goes public at eight to 10 years.

Lee said Western companies tend to remain private longer. Her observation about earlier IPO preparation applies to the later-stage companies Granite Asia is seeing.

Granite Asia works with startups from their first financing rounds through public listings, investing through equity and credit. The firm made more than 40 equity investments in the past two years. Lee said it is seeing more funding activity at the earliest stages, while later-stage companies are gaining productivity and reaching profitability faster.

The firm is focused on artificial intelligence (AI) for creative work and science, robotics and businesses built around Asian subcultures. Its interests include apps aimed at users in India and AI tools for creating Japanese content.

Granite Asia is also looking at energy technology, including storage. Lee said many Asian countries import a large share of their energy needs and are moving toward greater use of renewable energy. She described storage as important as that adoption grows.