Dolma Fund Management is on the road to raise as much as $75 million for its second private equity fund focused on Nepal, a top executive of the firm told DealStreetAsia.
The firm seeks to make the first close of Dolma Impact Fund II in the second quarter of 2020, said Tim Gocher, CEO, founder and director at Dolma Fund Management.
The second vehicle will invest up to $10 million in businesses in the areas of agriculture, healthcare, pharmaceuticals, energy and technology.
Dolma’s funds are backed by European development finance institutions as well as private investors. Dutch development bank FMO is one of its limited partners.
“We are keen to talk to all impact funds, foundations, and private sector funds who are interested in exposure to Nepal at this time of growth,” said Gocher.
The second fund is a successor to Dolma Impact Fund I, which was closed at $36.6 million in 2018. It has invested in as many as nine companies with operations in Nepal across renewables, tech/AI and healthcare sectors, which together have generated over 5,000 direct jobs in the country.
The maiden fund, which is fully committed, recently sold half its stake in CloudFactory, a part-time online jobs marketplace, during its recent $65 million Series C round led by FTV Capital.
Gocher said that Dolma’s two other portfolio companies – edtech company Fusemachines and e-commerce player Sastodeal – are now preparing to raise growth capital in 2020.
“Our portfolio, particularly in tech and AI … has created the majority of the jobs, connecting thousands to the global digital economy,” Gocher said.
Dolma Fund Management, the fund manager responsible for Dolma Impact Fund, is among a handful of PE investment firms in the country.
Apart from Dolma, other investors who are active in Nepal are International Finance Corporation (IFC), Beijing-headquartered Asian Infrastructure Investment Bank, CDC Group Plc, a development finance institution owned by the UK government, and One to Watch, an impact investment fund manager.