At DealStreetAsia, our team is busy putting together our flagship Asia PE-VC Summit, which is just around the corner.
We have gathered 70+ influential deal-makers and entrepreneurs who will share their unique insights into the top investment trends evolving in the private equity, venture capital, and startup spectrum spanning markets, including South and SE Asia, India, and China.
Across two days, 20 offline and four virtual sessions, and ample networking opportunities, the Asia PE-VC Summit 2022 is the place to be to evaluate, examine and navigate the big Asia investment story.
Moving on to the stories that grabbed headlines this week.
Interviews & analysis
We examined Indonesia’s IPO market, which recovered smartly in 2021 from the pandemic-induced lows of the previous year. However, the local market is facing another lacklustre year in terms of fundraising. Unfavourable market conditions have forced many IPO hopefuls in the country to defer their public listings to next year in the hope that beaten startup valuations will recover.
Moving on to the edtech space, we looked at the journey of India’s most valuable startup, BYJU’s. Till about a year back, it was the poster child of edtech companies in India, garnering praises from investors all over the globe and lifting the fortunes of the entire sector in India. Not many would have imagined BYJU’s to become what it has today — the biggest loss-making unicorn in India. When the company reported a net loss that ballooned nearly 17 times to Rs 4,500 crore in the year ended March 31, 2021, it further alarmed industry experts and investors.
We also captured an interesting trend in Vietnam’s edtech space. The sector has a lot of tailwinds going for it, even in these post-COVID times, thanks to cultural factors that make households invest in their kids’ education. Given this mindset, the demand for early-stage, or K-12, edtech is at a turning point in the SE Asian country.
As environmental, social and governance (ESG) principles gain acceptance in venture investing and building sustainable businesses, SE Asian firms are taking steps to stay ahead of the curve. In this feature, we looked at several SE Asian companies and investment firms, especially in Indonesia, that have beefed up their ESG teams and initiated the release of annual sustainability reports.
Lastly, we caught up with Blackstone Private Equity Asia head Amit Dixit who said that technology is the biggest theme for his team. The firm has invested in IT outsourcing firm Mphasis and IBS software and has scored successful exits from BPO firms TaskUs and Intelenet. An active investor in Asia’s private equity, Blackstone has a deep focus on five markets, including India, Greater China, Japan, Korea and Australia, while it remains opportunistic in Southeast Asia.
Deal scoops and data-led stories
Chinese financial services major Ant Group’s purchase of a majority stake in the Southeast Asian payments company 2C2P in April this year valued the latter at over $590 million, per DealStreetAsia’s calculations based on regulatory filings.
Singapore-headquartered B2B payments unicorn Nium doubled its revenue in the financial year ended December 31, 2021, while its losses surged 120% year on year, show regulatory filings. The company, which provides payment and card issuance services, reported revenue of S$43.9 million ($31 million) in FY21.
Walmart-owned Indian e-commerce company Flipkart has infused $30 million more in its marketplace unit. The additional investment comes less than six months after Flipkart invested $533 million into the said unit as the Bengaluru-based company is scaling many of its new businesses.
Indonesian B2B marketplace Ralali has raised an additional $2 million in its Series D funding round from Singapore-based ACA Investments. Also, Indonesian beauty company Somethinc-BeautyHaul has raised $10 million in Series B funding from Sequoia Capital India and Prosus Ventures.
Vietnamese consumer platform Be Group is in talks with several funds to raise at least $100 million in an equity funding round. Be recently secured a loan facility of $60 million from Deutsche Bank with provisions to upsize it to $100 million to expand and enhance its primary services.
Temasek Holdings, a backer of Indian unicorns including Open, ShareChat, upGrad, and Shiprocket, is in talks to invest in VVDN Technologies, a global provider of engineering, manufacturing, and digital services and solutions. VVDN is looking to raise $125-150 million in the round.
From the fundraising trail
Southeast Asian PE major Northstar Group is said to be close to achieving the first close of its early-stage fund at $75 million. Northstar is targeting to raise $150 million for the new vehicle.
TRIREC, a Singapore-based climate-focused investment company, recently made the first close of its maiden venture capital fund. In its first close, the firm raised $66 million, translating to 88% of the initial fund target of $75 million. The firm is now targeting to close the fund at $100 million by H1 2023.
Singapore-based mid-market private equity firm Tower Capital Asia has closed its maiden blind-pool private equity fund at $379 million, surpassing the firm’s original target of $300 million.
Arbor Ventures, one of Asia’s oldest fintech-focused venture capital firms, has so far raised $193 million for its third venture capital fund, per its US SEC filing.
Gobi Partners has announced the close of its latest early-stage, tech-focused venture fund at $10 million. Gobi SuperSeed II received commitments from Allianz Malaysia, Malaysia Venture Capital Management and Sunway Group.
TPG is set to reach the first close of its new Asia-focused fund at more than $3 billion, Reuters reported. The firm kicked off fundraising for its eighth private equity fund for the region in January with a target of $6 billion.
From the LP quarters, US pension CalSTRS has committed a total of $325 million to Asia-focused real estate funds managed by PAG and Greystar.
The University of Michigan has approved an aggregate of $111 million in commitments to funds managed by venture capital investors Sequoia Capital and Matrix Partners.
Washington State Investment Board has committed to invest $500 million in Crane Capital LLC, the Hong Kong-based real estate investment manager that the pension fund helped create in 2019.
Meanwhile, Taiwan Life, which is part of CTBC Financial Holdings, announced that it committed about 30 million euros to Antin Infrastructure Partners V, the flagship fund of private equity firm Antin Infrastructure Partners.
That is all from us this week. We hope to see you at our summit in Singapore on Tuesday and Wednesday.