Sunway Group one of Malaysia’s largest conglomerates and KK Fund –a Singapore-based VC investing in seed stage startups across SEA, jointly established a new venture fund, Sun SEA Capital, with a planned size of $50 million to invest in Southeast Asian and Hong Kong startups according to their website.
With the initial fund size of US$50 million, Sun SEA Capital aims to provide Series A and early Series B funding worth US$ 1 to US$ 3 million per ticket size to startups across Southeast Asia, Hong Kong and Taiwan.
The fund will seek to finance startups in Malaysia, Thailand, Singapore, Indonesia, the Philippines, Vietnam and Hong Kong, that specialize in online-to-offline convergence, enterprise solutions, logistics, digital media or entertainment, financial technology and digital health sectors; according to a statement released by the Sunway Group.
Sun SEA Capital LP combines the expertise and resources of the diversified Sunway Group, as well as the vast network, experience and intuition of seasoned venture capitalists – Koichi Saito and Kuan Hsu who act as the fund’s consultants and directors as well as member of the fund’s investment committee.
Koichi Saito, formerly with IMJ Investment (currently Spiral Ventures); and Kuan Hsu, formerly of GREE Ventures; founded Singapore-based KK Fund in 2015. KK Fund has invested in 20 deals since its set-up.
Koichi Saito said, “Sun SEA Capital will help Sunway Group pursue new innovations by looking to invest in startups with technologies such IoT, artificial intelligence and blockchain towards the sustainability of its businesses. Essentially, Sun SEA Capital will provide a ‘plug-and-play’ scenario for the startups we invest in – they can plug into the powerful all-in-one ecosystem that Sunway has established and immediately play to grow. In addition, having the support of a conglomerate with financial strength also means that they have a clear and visible exit strategy.”
Sun SEA Capital is the latest addition to Sunway Group’s digitalisation strategy. Sunway Group had launched its own incubator and accelerator, . Sun SEA Capital will also leverage on the Sunway’s offline ecosystem while taking advantage of the Sunway’s own incubator and accelerator Sunway Innovation Lab and a corporate venture capital arm, Sunway Ventures, launched two years ago which focuses on early stage funding.