Convergence Accel, an early stage technology venture fund, focused on investing in Indonesia, has launched a $25 million fund to invest in startups as it aims to ride on the entrepreneurial boom in the country.
Indonesia boasts of the largest consumer markets in the region with close to 250 million potential customers. This, along with a growing economy and booming smartphone penetration offers untapped opportunities in its online and e-commerce space. The country also boasts of attractive emerging market demographics; with over a decade of strong sustainable growth, it is one of the most promising markets for technology investment today.
Convergence Accel traditionally looks for business models, which have shown successful implementation in more mature technology markets around the world such as the US and China.
The fund’s partners’, Adrian Li and Donald Wihardja, bring extensive entrepreneurial and operational experience to the fund and are advised by a group of US and China venture capitalists with significant investment track records, the VC said.
Convergence Accel will primarily seek to invest up to $500K into early stage technology companies based in Indonesia and reserve follow on funding for successful ventures. It may also invest in later stage ventures from other regions that identify Indonesia expansion as a strategic focus.
Its first target will be to invest in approximately 25-30 companies over the next five years.
“We seek to back exceptional founders by leveraging our experience, network and resources to empower them to build long lasting and impactful businesses for Indonesia and the South East Asia region,” Convergence Accel said in a statement, and added: “Our advisory board and limited partners from the US, China and Indonesia have backed hundreds of technology businesses in the past decade with notable successes and bring deep local networks and resources in media and related industries to our founders.”