500 TukTuks, a Thailand-focused micro fund launched by Silicon Valley-based venture capital firm 500 Startups, expects to close its second vehicle at $30 million and launch it in the fourth quarter this year.
The upcoming fund will invest not only in Thailand but also expand its portfolio in Myanmar, Laos and Vietnam, venture partner Natavudh Moo Pungcharoenpong told DEALSTREETASIA at Echelon Thailand 2017.
He said the startup scene in Myanmar and Laos are similar to the one in Thailand three to four years ago. However, the opportunities are there following the inauguration of 3G services, changing lifestyle and infrastructure development.
“We would like to be first movers to invest and be part of their startup ecosystem development,” he said.
The first vehicle of 500 TukTuks kicked off in April 2015 with the initial size of $10 million, and then it increased the fund to $15 million last year.
Natavudh said 500 TukTuks has invested around $7.5 million in 37 companies so far. It plans to spend the other half of the fund on investing in new companies, targeting to have around 50 companies in its portfolio, or doubling down in potential startups in its portfolio.
For the second vehicle, it will still spray money in seed round and also focus more on Series A. He said that most of investors in the 500 TukTuks II are local corporate firms, unlike the first one which was mostly invested by individual investors.
According to Techsauce’s research, six corporate venture capital funds were kicked off in the first four months of 2017, and around 75 startup firms were invested by Thai corporate VCs. Total funding Thai startups received valued more than 9 billion baht ($260.8 million) over the last five years, cited the research.
In October last year, 500 Durian Fund II was launched with the size of $50 million and targeted to invest up to 100 Indonesian seed-stage companies. The media reported 500 Startups was likely to debut the third micro fund in Southeast Asia, which would be dedicated for startups in the Philippines, following its success with a health and drug information network mClinica.