Malaysia’s COPE raises $70m, nearing $76m target for latest fund: Report

Menara Berkembar Petronas, Kuala Lumpur, Malaysia. Photo by Vlad Shapochnikov on Unsplash

Malaysia’s COPE Private Equity, formerly known as CMS Opus Private Equity, has made a $70-million (MYR 275 million) second close of its fourth fund that’s targeting to raise $76.7 million (MYR 300 million).

COPE achieved the second close in early January this year with the final close expected in the third quarter of the year, COPE said in an emailed response to DEALSTREETASIA. The fund, COPE Opportunity 4 that was launched in 2016, had marked its first close at MYR 200 million earlier.

The latest fund has bagged the backing of Malaysian pension funds and some of COPE’s existing investors, according to a report from Private Equity International that first reported the news.

The private equity firm, backed by Malaysian corporate Cahya Mata Sarawak, is currently deploying its third fund that had raised MYR 80 million. For the latest fund, the firm has said it will primarily invest in Malaysia.

“Investments would not be limited to any specific industry but must be Shariah-compliant. However, the preferred sectors for the purpose of Investment are: Manufacturing; Consumer Products & Services and Energy & Utility Services,” the private equity firm said in its emailed response. The

With assets under management worth over MYR500 million, COPE Private Equity has made numerous investments in the past in oil and gas, consumer products, food and beverage, and manufacturing companies in Malaysia. According to its website, the firm currently manages five PE funds.

Its previous funds COPE 1 and COPE 2 had achieved gross IRR of 13.9 per cent and 52.4 per cent with realised money multiple of 1.7x and 3.5x respectively.

The firm recently announced its exit from Serba Dinamik Holdings Bhd after staying invested in the company for four years. COPE had invested in a subsidiary of Serba Dinamik for MYR35 million ($9 million) in June 2013 via two of its private equity funds – COPE-KPF Opportunities 1 and COPE Opportunities 2.

In a statement, COPE said that its full exit in January generated an IRR of 79.2 per cent and money multiple of 8.9x on the capital invested

Last year, COPE disposed of its entire 29.37 per cent equity stake in Damini Corporation via redeemable convertible preference shares. It had invested in Damini, a supplier and distributor of water meters and metering solutions, in 2015.

Also Read:

Malaysia: COPE Private Equity exits Serba Dinamik

MY: CMS Opus invests $4.5m in My-Sutera; exits Damini, Delta Express

CMS Opus Private Equity rebrands as COPE Private Equity