Indonesian venture capital firm East Ventures has closed its inaugural continuation fund underwritten by secondary specialist Coller Capital, per a statement.
The GP-led transaction was designed for East Venture’s fifth seed fund, bringing the total distributions-to-paid in capital (DPI) of the fund to approximately 2x, the company said.
It was structured with a component of profit participation, allowing liquidity for its limited partners while retaining participation in the future growth of the portfolio, it added.
Willson Cuaca, co-founder and Managing Partner at East Ventures, said that the close of the continuation fund was “a fast and efficient process”.
Some of EV5’s portfolio companies include media startup IDN and warehouse service provider Waresix.
East Ventures, founded in 2009, raised $27.5 million for its fifth seed fund in 2017. The firm is an early investor in Tokopedia, Traveloka, and Ruangguru, among others.
In 2018, the firm launched its growth strategy, EV Growth, which closed its first fund at $250 million. The firm later on raised a total of $835 million for its multi-stage funds in 2022 and 2023.
In 2023, it launched a $30-million healthcare fund.
Meanwhile, Coller Capital is a familiar secondary investor in Asia. It underwrote the largest GP-led transaction in Asia for South Korean private equity firm Hahn & Co’s SsangYong C&E at $1.5 billion. Other investments include funds of Legend Capital, BPEA (now EQT’s Asia private equity business), and CDC Group (now British International Investment).
Coller Capital closed its eighth global fund, Coller International Partners VIII, at more than $9 billion in 2021, which was 26% larger than its 2015-vintage predecessor.
In 2022, the firm closed a $1.45 billion fund for private credit secondaries.
GP-led secondaries have been used by a number of Southeast Asian managers to navigate the challenging exit environment. Malaysia-based Navis Capital Partners, which closed its first continuation vehicle in 2021, is raising a second fund to transfer some of its education assets. The firm could possibly eye about $800 million for the second continuation fund.
Others that have adopted this strategy include Vertex Holdings and technology investment firm Basil Partners, which was merged with Capital Square Partners.
Meanwhile, a spate of Indonesia-based managers are understood to be exploring GP-led secondaries as the traditional exit routes are hard to come by. DealStreetAsia has reported such plans for Falcon House, Capsquare Asia Partners, and Argor Capital Management.
