Bukalapak co-founders Zaky, Xinuc set up early-stage VC fund Init 6

Bukalapak co-founders and former executives Achmad Zaky and Nugroho Herucahyono (Xinuc) have set up a VC fund, called Init 6, currently deploying funds from their personal pockets, to invest in seed and Series A-stage startups in Indonesia.

“Currently this is from the GP’s own money. It is not a proper fund. We will consider inviting external parties in the future if this proves successful,” Zaky told DealStreetAsia.

The move to venture into the venture capital space was initiated by Zaky, who led Bukalapak for almost a decade as its CEO before stepping down in a shocking move late last year. He has roped in long-time friend Xinuc to join him. Xinuc also announced his exit from Bukalapak earlier this month.

The pair announced their first investment on Tuesday in edtech startup Eduka System, and is in the process of closing a few more deals soon, Zaky said. Established in November 2018, Eduka System develops online test system for schools and students.

“We want to help our younger brothers who have just started building a startup. We feel that our skill and experience can be of help to them,” he said.

“We have hands-on experience. Xinuc, for example, is really good at scaling technology so that it can absorb millions of users at once in a cost-efficient way. Therefore there is no need for trials and errors,” he added.

Collegemates Zaky and Xinuc were the brains behind Bukalapak, an online marketplace business they started in their dorm room at the Bandung Institute of Technology (ITB) in 2009. Later in 2011, they were joined by a third collegemate, co-founder Muhammad Fajrin Rasyid.

Under the trio’s leadership, Bukalapak has grown to become one of the biggest tech companies in Indonesia, with the help of some capital injections from prominent VC firms such as Indonesia’s Emtek, Singapore’s GIC, China’s Ant Financial, and Korea’s Shinhan Financial Group.

Bukalapak last raised funding in October 2019, when it secured an undisclosed amount of Series F funding at a valuation of over $2.5 billion.

Now, spearheading Bukalapak’s new charge for sustainability is ex-banker Muhammad Rachmat Kaimuddin, who comes in to take Zaky’s mantle as CEO. He takes over the tough task of leading Bukalapak in an increasingly tough e-commerce space, with competition from heavily-funded unicorns such as Tokopedia, Lazada and Shopee.

Init 6 becomes the latest newcomer in Indonesia’s increasingly crowded VC scene. Over the past couple of years, Indonesia has seen the emergence of a host of new homegrown firms such as BRI Ventures, OCBC NISP Ventura and Kinesys Group, while it continues to be a hot target for regional and global investors.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.