Sequoia is splitting into three entities — Sequoia Capital in U.S. and Europe, Peak XY Partners in India and Southeast Asia, and HongShan in China — as the storied venture firm scrambles to assess the increasing complexity of managing a decentralized operation.
The split — which will go into effect by March next year — comes amid the growing geopolitical tension between China and the U.S., the world’s two largest economies. The India and Southeast Asia unit has also confronted some optics and governance issues at its portfolio firms.
Sequoia downplayed why it was splitting up. “It has become increasingly complex to run a decentralized global investment business. For example, each business has evolved to meet the opportunities in their markets across a wide range of sectors,” the firm said in a p...
