Jelawang Capital, the fund-of-funds subsidiary of Malaysian sovereign wealth fund Khazanah, has committed capital to the first five general partners (GPs).
Its Emerging Fund Managers’ Programme (EMP), which is designed to support Malaysian fund managers in raising their first, second, or third funds, has selected Vynn Capital, Kairous Capital, and First Move as its first GPs.
The eligible fund management companies for this programme are required to have at least 30% Malaysian shareholding.
Vynn Capital earlier received a commitment from MAVCAP—the entity that was merged with Penjana Kapital to form Jelawang Capital. The early-stage VC firm targets $30 million for its second vehicle, which has also secured capital from local limited partners including KWAP and Sime Darby Berhad.
Meanwhile, Jelawang Capital’s Regional Fund Managers’ Initiative (RMI) announced AppWorks and Granite Asia, formerly GGV Capital Asia, as its selected managers. AppWorks’ fourth fund has a target of $360 million, while Granite Asia’s first private credit fund has gathered $250 million by May 2025, which is over half of its target.
AppWorks will be rolling out Malaysia-focused cohorts for Web 2.0 and Web 3.0, Jelawang Capital announced. Meanwhile, Granite Asia will collaborate with Khazanah and Jelawang Capital to provide Malaysian founders access to its ecosystem programmes.
First Move said it will use Jelawang Capital’s backing for a dedicated initiative under the next fund targeting AI-native startups, to be launched in the coming months. The fund size is undisclosed, and Jelawang Capital will contribute up to 30% of the total fund size. The early-stage VC launched its debut fund in 2023, and has a portfolio of two dozen companies across Malaysia, Singapore, Indonesia, and Thailand.
These GPs were selected through a rigorous evaluation process focused on the funds’ investment thesis, strength of core team, governance and alignment with strategic national development priorities, Jelawang Capital said.
“Through Dana Impak and Jelawang Capital, we act as both catalyst and connector — bringing together funders, founders, and institutions to strengthen a venture ecosystem that supports firms from nimble start-ups to mid-sized enterprises and established corporates. Our focus is not just on capital, but on crowding in participants to build an ecosystem where innovation can thrive — enhancing Malaysia’s economic competitiveness and resilience,” said Khazanah Managing Director Amirul Feisal Wan Zahir.
Seri Amir Hamzah Azizan, Malaysia’s second Minister of Finance, added: “Aligning with the objectives of Ekonomi MADANI [a framework focused on restructuring Malaysia’s economy], the commitment into these fund managers marks a pivotal step towards catalysing our venture capital ecosystem.”
The second finance minister revealed that the local government has approved new venture capital tax incentives, including a 5% concessionary tax rate for up to 10 years for funds investing at least 20% in local startups, as well as a 10% tax rate for venture capital and private equity firms registered with the Securities Commission Malaysia, subject to conditions.
Jelawang Capital is seeded with a 1-billion-ringgit ($236-million) commitment, and it plans to allocate 300 million ringgits for its two programmes in 2025.
The firm will see the departure of its CEO Bryan Lim, who is also Khazanah’s head of impact, next month. It is still in the process of appointing his replacement.
Editor’s note: This story was updated with detail on First Move.
