Penjana Kapital Sdn Bhd, a part of the Malaysian government’s initiative to develop startups, has signed a Memorandum of Cooperation with Indonesian-focused investment firms Indies Capital Partners and AC Ventures.
Prime Minister, Anwar Ibrahim witnessed the signing ceremony during his two-day working visit to Jakarta.
The memorandum establishes a working framework for Penjana Kapital, Indies Capital Partners, and AC Ventures to explore co-investment opportunities in Malaysia-Indonesia growth companies through existing and soon-to-be-launched funds.
The framework facilitates cross-border investments and technology transfer in data centres, education, hospitality, mobility, and waste management sectors involving Indonesian and Malaysian start-ups.
According to Malaysia External Trade Development Corporation (Matrade), the total trade value between Malaysia and Indonesia rose 43.5% to US$21.73 billion (RM95.1 billion) in 2021 compared to 2020. Total Malaysian exports to Indonesia were up 32.5% to US$8.962 billion (RM39.22 billion) while total imports saw a 52.3% improvement to US$12.769 billion in the same period.
(RM1 = US$0.228)
Indies Capital Partners was an early player in the private credit-focused managers in Southeast Asia. Today, the firm has evolved into a top-quartile, alternative asset manager with more than US$800 million in assets under its management. Its strategy spans from private credit to private equity.
AC Ventures is a Southeast Asian venture capital firm investing in early-stage start-ups focused on Indonesia and ASEAN. AC Ventures currently has over US$500 million in assets under management, invested across five funds. Since 2012, the firm’s partners have invested in more than 100 technology companies in the region.
Penjana Kapital’s flagship programme – Dana Penjana Nasional – has raised a total commitment of US$ 297.05 million for its eight funds as of December 2022 on a matching basis of roughly 1:1 —the Ministry of Finance will match every ringgit that is successfully brought in by the fund.
Of the total, US$164.73 million came from foreign and private local investors.
Penjana Kapital also announce that Dana Penjana Nasional has approved 53 investments valued at US$130.85 million.