Core Viewpoint - The transformation of private equity funds from financial investors to industry integrators is reshaping the market dynamics, as evidenced by the recent acquisition interest in vaccine company Kanghua Biotech by Shanghai Biopharmaceutical M&A Private Equity Fund [1] Group 1: Role Transformation of Private Equity Funds - Private equity funds are shifting from a supportive role in the growth of unlisted companies to a leading role in industry integration through mergers and acquisitions [1] - This shift allows private equity funds to take on core responsibilities in industry operations, moving from the "co-pilot" to the "driver" position [1] Group 2: Challenges Faced by Private Equity Funds - The ability of teams with financial backgrounds to manage complex industry operations, technology integration, and supply chain management is crucial [2] - Private equity funds must develop a closed-loop capability of "industry insight - resource integration - value creation" to effectively support company growth [2] Group 3: Balancing Long-term Investment and Mid-term Returns - Innovative structuring of investment timelines and exit mechanisms is essential for private equity funds to balance long-term industry investments with mid-term financial returns [3] - The establishment of S funds can help alleviate the "exit difficulty" faced by private equity funds, allowing for phased exits and capital recovery [3] - Recent regulatory changes by the CSRC have reduced time costs and liquidity risks for private equity funds involved in industry mergers, creating a more favorable policy environment for their participation [3] Group 4: Future Outlook - Private equity funds are expected to evolve into true "value creators" and "industry operators," fostering a long-term symbiotic relationship with real enterprises [4]