First Release | The Most Expensive Postpartum Care Center, Sheng Bella Becomes LP

Why is AI · Sheng Baila partnering with LVMH Fund to expand globally?

According to industry sources, today (March 18), Asia’s leading home care company Sheng Baila announced a strategic partnership with LVMH’s fund, L Catterton. The announcement states that their cooperation covers technological innovation support and experience auditing, two-way resource linkage, international expansion assistance, joint investment incubation and strategic acquisitions, as well as global brand collaboration.

Sheng Baila founder Xiang Hua revealed to industry insiders that this strategic partnership also includes plans to invest as an LP in L Catterton’s RMB fund.

As the world’s largest consumer private equity firm, LVMH’s L Catterton recently held a signing event with Wuxi High-tech Zone, announcing the joint establishment of a consumer-focused equity investment fund. This marks L Catterton’s latest move in China’s core economic regions, following the establishment of RMB funds in Chengdu and Guangzhou.

The trend is subtly shifting. Just recently, signals emerged that the Growth Enterprise Market (GEM) is welcoming consumer IPOs, and the warming of consumer investment is becoming increasingly evident. Long-term consumer investors are starting to travel more frequently, and the window for financing consumer projects is opening.

Early-Year Consumer Fundraising

According to Wuxi Daily, L Catterton and Wuxi High-tech Zone’s Science and Industry Development Group have jointly established a consumer fund, which is not only capital infusion but also a channel for top international resources.

The fund will focus on consumer brands, retail channels, healthcare, cultural IP, and experiential consumption, targeting companies with technological barriers or innovative business advantages, especially mature and Pre-IPO projects.

By the end of 2025, Wuxi will be selected as a national pilot city for new consumption formats, models, and scenarios. L Catterton’s arrival will undoubtedly help Wuxi develop into a new highland of consumer industry, rooted in the Yangtze River Delta and facing the global market.

Industry insiders have learned exclusively that publicly listed Sheng Baila will participate in L Catterton’s RMB fund. Founded in 2017, Sheng Baila is a high-end domestic home care brand, known for its ultra-premium postpartum care centers. In June 2025, Sheng Baila successfully listed on the Hong Kong Main Board.

Regarding this cooperation, Sheng Baila Group’s founder, Chairman, and CEO Xiang Hua told industry insiders that L Catterton is the largest and most professional consumer fund globally, with deep understanding of consumer investments. Additionally, backed by the LVMH ecosystem, it possesses top-tier luxury industry DNA. In the future, Sheng Baila hopes to leverage L Catterton’s global network to accelerate its overseas expansion and further enhance its brand matrix through investments and acquisitions.

Xiang Hua revealed that, based on a shared understanding of the global upgrade trend in the consumer health industry, both parties reached an agreement in a very short time. “This is not just a financial investment but a two-way empowerment of industry resources.”

Thus, L Catterton’s RMB fund deployment is deepening once again.

Earlier, its first RMB fund was launched in Chengdu High-tech Zone. On October 31, 2022, L Catterton announced the completion of its first RMB fund’s first closing in China, with LPs mainly composed of local financial platforms and domestic and foreign industry investors. At that time, L Catterton officially adopted its Chinese name “路威凯腾.”

Li Jing, head of L Catterton’s RMB fund, said in an interview: “The RMB fund platform is a key hub connecting deeply with China’s consumer industry. On one hand, it allows us to conduct investments and operations in a more localized manner, gaining a deeper understanding of the cultural core and consumption context behind Chinese brands; on the other hand, it builds a channel for Chinese brands to go global.”

Through this platform, we aim to cultivate more Chinese brands capable of competing internationally, and systematically promote the integration and synergy of invested companies and partners worldwide, accelerating the global influence of Chinese brands and continuously building a future-oriented global consumer ecosystem.”

In 2024, L Catterton (Guangzhou) Consumer Equity Investment Fund was established, focusing on beauty, personal care, health, and brand globalization, marking its first new consumer industry fund in the Guangdong-Hong Kong-Macao Greater Bay Area.

A more indicative sign came earlier this year when L Catterton announced a strategic partnership with beauty group Mao Geping, planning to jointly establish a high-end global beauty equity investment fund.

This marks the gradual expansion of L Catterton’s footprint in China.

Industry Indicator

Consumer Investment Is Warming Up

L Catterton, born from the merger of LVMH’s L Capital and the US private equity firm Catterton, has over 30 years of experience in consumer industry investments. To date, L Catterton manages funds totaling approximately $40 billion (about 27 billion RMB).

Backed by LVMH, its global footprint is extensive. The Chinese team has become increasingly active, investing in new consumption leaders like HeyTea and Genki Forest, and expanding into pet care with investments in BorntoPure and Pate. It has also invested in collagen reorganization company Jianjian Medical, baby skincare brand Turtle Daddy, electric bike TENWAYS, and plant-based beverage leader Wei Yi Dou Nai, leaving a deep impression in the industry.

Meanwhile, China’s consumer investment landscape has experienced ups and downs. Fortunately, after a downturn, consumer investment is returning to the mainstream.

A key sign was on March 6, when Wu Qing, Chairwoman of the China Securities Regulatory Commission, revealed at the Fourth Session of the 14th National People’s Congress that a more precise and inclusive listing standard would be added to the Growth Enterprise Market (GEM). The support for high-quality innovative and entrepreneurial enterprises in new consumption and modern service industries to list on the GEM was emphasized.

New consumption, IPOs—these words carry weight. This means the GEM, which has birthed many consumer blue-chip stocks, will reopen its doors to consumer companies.

For years, exit difficulties have troubled consumer investors, especially since no consumer IPOs have been seen in A-shares, and those listing in Hong Kong face liquidity and valuation challenges. Many consumer investment firms have been stuck with limited exit options.

This change is highly anticipated. “A smooth exit path is like timely rain.” After all, the ability to exit encourages investment.

Opportunities always favor the prepared. Industry insiders have learned that many savvy VC/PE firms are accelerating their pace: some are holding emergency internal meetings to review their project pipelines, re-evaluating previously deemed “A-share hopeless” high-quality consumer targets; others are taking action to seize the new financing window; some consumer investors have revealed that long-stalled consumer-focused fund plans are finally back on the agenda.

The narrative of China’s consumer investment is brewing amid the ups and downs.

In fact, after years of reshuffling and waiting, China’s consumer investment has entered a healthy cycle. With a population of 1.4 billion, the world’s second-largest consumer market, a culture of both unity and diversity, the top global supply chain, and bursts of technological innovation, it provides fertile ground for Chinese consumer brands.

As L Catterton believes: after cycles of ups and downs, market fluctuations, and external changes, the team firmly believes in one thing—people need to eat, wear clothes, live, and pursue better experiences. “This industry always exists, demand always exists, and value always exists. The signs of recovery are not short-term hype but a true return to fundamentals.”

The simple truth remains: in China, the consumer market is always “long slope, thick snow.”