China's rapid growth, expanding openness, and developing consumer market have made the region a hotbed of opportunity-and risk-for today's multinationals. As Chinese companies become increasingly sophisticated and mature in their conduct of business to expand regionally and globally, the need to tap on to capital has never been more urgent. Even with the stimulus package that the Chinese government has implemented, many firms still struggle to tap on to capital markets. Private equity has emerged as a viable and important source of capital for Chinese markets in recent times. Yet, private equity as an asset class has often been misunderstood not just in Western markets but more so even in Chinese markets. Business leaders can learn from successful private equity players and other top value builders operating in China and the challenges and opportunities that private equity offers in China.