These are private market investments, so nobody is crunching any numbers for them and producing a valuation, they pay for this out of pocket. A small VC would l

These are private market investments, so nobody is crunching any numbers for them and producing a valuation, they pay for this out of pocket. A small VC would lose with an "invest everywhere" strategy, each new investment grows sunken cost of valuating and negotiating an investment. But there is a force in the other direction: each investment can only bear so much new capital without losing marginal value. So after a while you have to start to look for new investments to spread your capital around. There is probably a ton of money behind these chinese investments, and a relatively small total market for venture capital, so they end up making a lot of investments.