True Incube joins Korea Venture, LINE Games to set up PE fund

True Incube, a tech incubator and the wholly-owned subsidiary of Thai-listed telecom firm True Corporation, has teamed up with the government-backed fund of funds management firm Korea Venture Investment Corporation (KVIC), LINE Games Corp and a newly-formed JV firm True-Kona to set up a private equity fund in Cayman Islands.

According to True’s disclosure to the Stock Exchange of Thailand on Monday evening, the fund, named LINE GAMES-TRUE-KONA Global Limited Partnership, will have an initial registered capital of $22.72 million. However, the filing did not disclose the fund size.

KVIC is the major shareholder with a 40-per cent stake, followed by LINE Games Corp at 32 per cent while True Incube and True-Kona will hold 26 per cent and 2 per cent, respectively.

The fund will seek opportunities to invest in high potential companies, focusing on games and technology.

“True Incube would be entitled to the right to publish games in Southeast Asia which would be leveraged among True Group’s multiple platforms, increase revenue growth potential and generate future capital gain,” said True’s co-group CFO Yupa Leewongcharoen.

True Corporation has been one of the main investors in Silicon Valley-based venture capital fund 500 Startups since 2013. As a startup incubator and venture capital firm, True Incube has focused on partnering with global venture capital firms and companies including 500 Startups, Japan’s Itochu and China’s Ant Financial to build and strengthen the Thai startup ecosystem.

KVIC was launched in 2005 as a Korean government agency tasked to promote the development of Korean venture capital and private equity fund industry. It currently has assets under management worth $1.2 billion. Its primary focus is technology-oriented venture firms in several sectors such as ICT, green energy and life sciences.

True-Kona is a 50:50 joint venture firm between True Incube and Kona Venture Partners as a fund manager of the newly-set up fund in Cayman Islands.

Also read:

True, Axion Ventures form JV to lead gaming industry in SE Asia