Temasek-backed venture debt provider Innoven Capital on Monday said its Southeast Asia office had closed over 20 transactions in FY2017, including 18 new additions to its portfolio and four cross-border deals in collaboration with the company’s global network spanning offices in China and India.
Last week, as reported by this portal, its India office said it had disbursed over Rs 477 crore ($75 million) in 2017, marking an increase of 25 per cent over its deployment a year ago, and adding 22 new companies to its portfolio including Blackbuck, Pepperfry, NestAway, ShopClues and Mswipe. That took the total amount of venture debt extended by InnoVen India since its inception to more than $270 million, through over 165 transactions with 110 companies.
In Southeast Asia, the company expanded its geographical footprint, completing investments across Myanmar, Taiwan, Korea, Indonesia and more. The venture debt provider further added that it had closed the region’s largest venture debt deal to date with a $15.4 million investment into online travel agent Yatra in collaboration with Innoven Capital India.
Innoven’s SEA arm, headquartered in Singapore, invested in travel-booking services company Oway, live-streaming platform M17 Entertainment, online Korean-beauty store Althea and fintech services provider Akulaku, among others, in 2017.
While venture debt is yet to see the entry of major players in Southeast Asia, this space has grown as a means for funding for startups that are not keen to give up equity in India and is well established in China. Other players in the Indian market include Trifecta Capital and IntelleGrow, and venture capital firm IvyCap had recently announced its plans to launch a $76.4 million venture debt fund, while in November, Unicorn India launched its $92 million venture debt fund.
“As the ecosystem continues to mature, we see strong demand for Innoven’s flavor of venture debt from companies across all industry sectors at all stages of growth. Companies are constantly looking for venture loans to accelerate growth and increase valuation while minimizing equity dilution, so we are off to a strong start in 2018,” said Chin Chao, CEO of Innoven Capital Southeast Asia.