9 Harvests and 4 Insights This Spring | FreeS Fund Chalkboard · March

FreeS Fund Newsletter — March Edition. We want to share the latest updates with friends who have long followed and supported us:

• Cross-border e-commerce platform Club Factory closes its Series C round, with FreeS Fund continuing to participate.
• FreeS Fund invests in Hui Space, an art space.
• FreeS Fund invests in Anyeep, deepening our focus on advanced manufacturing and precision instruments.

We also have good news from the FreeS family:

• Technology: Panoramic audio technology provider Mint Muse receives strategic investment from Ximalaya; intelligent recruitment management system Moka announces completion of its Series A+ round.
• Consumer: K-12 online science tutoring brand Onion Math completes its Series C round; home goods brand Goodthings have rebrands as Nakko; HH-Medic launches the HH Video Doctor app.
• Awards: Four founders from the FreeS family make the "2018 Forbes 30 Under 30 Asia" list.

As a young fund, FreeS Fund will continue to stay grounded and push forward, looking forward to constantly meeting innovation and excellence.

FreeS News

1

FreeS Fund Continues Participation in Club Factory's Series C Round

Cross-border e-commerce platform Club Factory recently announced the completion of its $100 million Series C round, with FreeS Fund, the lead investor from its Series A, continuing to increase its stake.

Thanks to China's unique supply chain advantages, cross-border e-commerce has always been a market comparable to daigou and haitao shopping.

Club Factory's primary markets are developing regions such as Southeast Asia and the Middle East. While e-commerce in Europe and America is already mature, Southeast Asia and the Middle East are seeing gradually improving e-commerce penetration and infrastructure, representing significant market potential. Club Factory founder Yun Lou notes that each market has its own characteristics: Southeast Asia has a large population and strong consumption potential, making it the biggest market; while the Middle East has a developed oil industry but lacks light industries like textiles and apparel, giving it the strongest consumer willingness. (For more details, see: 36Kr's "Cross-Border E-Commerce 'Club Factory' Raises $100M in Series C, Using Data-Driven Approach to Enter Southeast Asian and Middle Eastern Markets")

2

FreeS Fund Invests in Hui Space

Recently, Hui Space announced the completion of a tens-of-millions RMB Series A round, led by FreeS Fund with participation from Yan Ji You.

Founded in 2015, Hui Space is built upon a foundation of accomplished artists and curators from China and abroad. Oriented toward creating high-quality art spaces in Beijing, it is dedicated to the exhibition, promotion, and exchange of contemporary art works. It also provides exhibition and promotion platforms for fashion, collecting, photography, film, and other fields.

Located in the core of Beijing's Yansha business district, Hui Space operates under the philosophy of "borderless art, culture, and life." It is the only art space in the capital that, in addition to its own independent space, is closely integrated with urban spaces and interacts with both commercial and outdoor public spaces — a triple-flexible art space that delves into contemporary art and disseminates contemporary culture.

3

FreeS Fund Invests in Anyeep, Continuing Push in Advanced Manufacturing and Precision Instruments

FreeS Fund continues to strengthen its position in advanced manufacturing and precision instruments. In mid-March, Suzhou Anyeep Precision Instrument Co. received several million RMB in its first round of funding, led by FreeS Fund. This round of financing will be used for the development of miniature mass spectrometers and its first application-specific custom product.

Anyeep was co-founded by a Thousand Talents Program expert returning from Purdue University and a team from industry-leading companies. Building on more than ten years of accumulated experience across three generations of domestically developed mass spectrometry instruments, Anyeep is committed to developing fast, easy-to-use, highly robust dedicated portable and conventional mass spectrometers. Going forward, it will focus on launching customized miniature mass spectrometers for medical, public security, and environmental protection applications to meet growing demand for rapid on-site detection.

FreeS Perspectives

▍Juanshu Wang: The Aging of Old Brands Is the Soil and Foundation for New Brands to Rise

Over the past few years, Procter & Gamble's market share among personal care brands has continued to decline — it has certainly been eaten up by other brands, but not by any specific brand. Rather, it's been captured by a broad category called others. When post-85s are now earning ten times more than before, they certainly won't keep using 9.9 RMB shampoo; they'll want something better. The aging of old brands creates fertile soil for new brands to emerge, with daigou, cross-border e-commerce imports, and quality domestic brands all taking market share. (For more details, see: Lujiazui Magazine's "The Heart of Personal Care Under the Capital Wave: When Personal Care Becomes a Creative Industry")

▍Hai Huang: In Cross-Border E-Commerce, Whoever Has More Control Over the Supply Chain Has Greater Competitive Advantage

Cross-border e-commerce has been a sub-sector within consumer that FreeS Fund has consistently followed. The reason this sector works and can produce large companies is fundamentally due to China's high-quality supply chain competitiveness, which cannot be replaced globally in the long term.

When evaluating a cross-border e-commerce project, I mainly look at several key points: first, whether it has chosen the right product category for cross-border e-commerce; second, the founder's understanding and utilization of the local traffic ecosystem; and third, their ability to integrate domestic supply chains. (For more details, see: Qingtong Capital WeChat account's "FreeS Fund's Hai Huang: Controlling Service Quality and Managing SKU Count Are Key to Cross-Border E-Commerce")

▍Feng Li: Building a Brand Ultimately Means Influencing Others

People who build consumer brands are those who get their consumers to accept their ideas and values. Ultimately, it's about using yourself to influence others. The most extreme example is Steve Jobs.

To ultimately build a major brand, people must see something genuinely good in you that they are happy to accept. (For more details, see: Bijixia's "FreeS Fund's Feng Li: How Does Zhou Hei Ya Stimulate Consumer Genes? A Detailed Explanation of the Three Dimensions of Consumption Upgrade")

▍Feng Li: Bubbles Aren't All Bad

The existence of ICOs has put ICO startup CEOs through pressures and challenges similar to those of the secondary market (token price fluctuations) too early. However, bubbles aren't all bad. Companies that are truly creating value have gained funding and resource support during this bubble, and will emerge after it bursts. (For more details, see: FreeS Fund WeChat account's "The Origin and Future of the ICO Bubble")

FreeS Family Updates

1

Consumer | Onion Math Completes Series C Round

K-12 online science tutoring brand Onion Math recently announced the completion of a 120 million RMB Series C round, with Legend Capital and Tencent as investors. This round of funding will be fully used to promote and accelerate the arrival of the internet tutoring era.

According to Onion Math co-founder and CEO Linfeng Yang, "Onion Math's positioning is not content, not tools, but unmanned K-12 science tutoring. Onion Math has completed the closed loop of online tutoring, achieving learning, practice, problem sets, testing, diagnosis, AI instant tutoring, and grade prediction. In terms of user numbers, we should be the largest internet science tutoring platform in China." (For more details, see: Duozhi's "40 RMB Monthly Fee, 67.9% Completion Rate: How Does Onion Math Achieve 'Unmanned Tutoring' for K-12 Science?")

2

Technology | Moka Completes Series A+ Round

On March 26, 2018, intelligent recruitment management system Moka announced the completion of a tens-of-millions RMB Series A+ round, led by GSR Ventures with participation from GGV Capital. This round of funding will be used for team building, talent acquisition, product R&D, and market expansion.

Moka is a company dedicated to helping clients improve recruitment efficiency through comprehensive recruitment ecosystem solutions. Its product is a next-generation SaaS intelligent recruitment management system. Founded in September 2015, it has previously received two rounds of investment from FreeS Fund and GGV Capital. Its current client base covers multiple industries including internet, education, finance, FMCG, automotive, and real estate, including well-known enterprise clients such as Xiaomi, Momo, TAL Education Group, Levi's, Trendy International Group, Burger King, Poly Developments and Holdings, and Hangzhou Wanda. (For more details, see: HR's Daily WeChat account's "Moka Recruitment Management System Raises Tens of Millions in Series A+ Round: Could It Be the Qunar or DiDi of the ATS Enterprise Service Sector?")

3

Technology | Mint Muse Receives Strategic Investment from Ximalaya

Panoramic audio technology provider Mint Muse, Inc. was founded in 2016, initially working on panoramic audio-related technologies and products. It has since independently developed spherical harmonic sound field compression algorithms, binaural 3D panoramic audio rendering, 720-degree invisible microphone arrays, real-time 3D audio game engines, and other technologies, and launched products including the Mint Muse VR Virtual Cinema, Mint Muse VR Workstation, and Mint Muse 3D Audio SDK.

Recently, Mint Muse received tens of millions of RMB in strategic investment from Ximalaya. The company had previously received angel round investment from FreeS Fund and a tens-of-millions RMB Pre-A round from China Growth Capital. (For more details, see: 36Kr's "With Strategic Investment from Ximalaya, 'Mint Muse' Launches Gamified Music Learning App 'MiLu Music'")

4

Consumer | Goodthings have Rebrands as Nakko

Every character in the new brand name represents the founding team's ideals. "Na" (纳) means embracing all rivers — as vast as the sea, capable of accommodating all kinds of things and all forms of life. "Gu" (谷) means bountiful harvests, symbolizing the beauty of home life, like returning home for New Year to find various grains hanging at the doorway. This more clearly defines Nakko's positioning as a home brand focused on optimizing small spaces, creating rich and beautiful home lives for young people of the new era.

"Nakko" means "a life of abundance and beauty, with more fun in living!" (For more details, see: Nakko WeChat account's "From Today On, My Name Is Nakko")

5

Consumer | HH-Medic Launches HH Video Doctor App

This is the first product in China to provide video medical consultation for ordinary consumers. CEO Ruyu Li introduces its features: "24/7 online, one-click video medical consultation; full-time doctors, dedicated assistants, human customer service; unlimited family members, free medical record storage, and expert appointments."

The launch of the "HH Video Doctor App" marks another step forward for health consultation service company HH-Medic in connecting the entire industry chain and building a comprehensive health service complex. With this, HH-Medic's health medical service system covering both B2B and B2C is now fully established. (For more details, see: GeekPark's "HH Video Doctor App Released: Full-Service General Practitioner Care Without Leaving Home")

6

Four FreeS Family Founders Make Forbes Asia 30 Under 30

On March 27, Forbes officially announced the "2018 Forbes 30 Under 30 Asia" list, bringing together innovators and disruptors.

Four founders from the FreeS family made the list — Oulun Zhao, founder and CEO of Moka; Chang Le, co-founder of SoundAI; Jiujin Ren and Hai Lin, co-founders of Particle Fever. They stood out from over 2,000 nominees. (For more details, see: Forbes' "59 Mainland Talents Make Forbes 2018 Asia 30 Under 30 List")

▲ Two Gatherings, Ten Joys: FreeS Family Looks Forward and Persists in 2018 | FreeS Newsletter · January

▲ Final "FreeS Family Update" of 2017 | FreeS Newsletter · December

▲ Funding, Store Openings, Production Launches, New Products: Ten Companies Reach New Heights, Plus Eight Make the Lists | FreeS Newsletter · November