Headland Capital Senior Partner William Shen told China Money Network that private equity firms continued to be interested in backing China's luxury car businesses. Called 4S dealerships, Shen said he is looking at investing in this network for a variety of reasons. For one, the network penetration of these dealerships is not yet as extensive when compared to that in more mature markets. Luxury car are also lower when compared to the sales of the total market for car sales in China.

Forbes Contributor Nina Xiang reported that another private equity firm had already seen the opportunity back in 2010. It can be recalled that KKR backed Rundong Automobile Group. The Jiangsu-based operator has more than 50 dealerships in the eastern portion of China. It carried such brands as BMW and Land Rover.

Shen said the possible investment of Headland may be a bit late. However, he is positive that the field is still full of opportunities. "Unless you don't believe that the Chinese consumers will be able to afford and purchase more luxury cars, then the whole thesis falls apart. But we are a firm believer that they will," he said.