01 May 2018
Dymon Asia today announced the final close of Dymon Asia Private Equity Fund II (“DAPE II” or “the Fund”), a USD450 million fund focused on lower mid-market companies in South East Asia.
The Fund follows DAPE’s first fund, which successfully invested across 12 companies in Singapore, Malaysia and Thailand between 2013 and 2017.
“We are excited to be able to continue with our strategy to invest in small and medium sized companies in South East Asia, where we believe there are many uncut diamonds”, said Keith Tan, partner at DAPE.
“Our partnerships with entrepreneurs and management teams have been very successful so far. We have been able to achieve many of our strategic milestones ahead of schedule, which in turn have resulted in the successful exits of 3 investments. The distributions from these 3 investments alone have already returned more than the capital we have drawn from investors. We’re delighted that our investors and partners have done well with us. We’re also proud to have found world class strategic buyers for our companies, who will be strong partners in their journeys ahead.”
DAPE has grown from a small team in Singapore when it first started in 2012, to now having regional offices in Singapore, Kuala Lumpur and Bangkok.
“We believe in an engaged and committed approach, where we only invest if it is clear that we have specific execution roles in our investment thesis and can make a meaningful difference to our companies,” said Tan Chow Yin, partner at DAPE.
“We discuss our involvement well before we invest, so that we are all aligned on our joint goals, and our partners are clear on our roles in their transformation. Our ability to add value is the key reason for management teams and entrepreneurs to partner with us. Of the 12 companies we invested in, 7 had more cash than debt, indicating they were looking for more than capital alone. DAPE team has worked directly on technology implementation projects, succession planning and management incentivisation, mergers and acquisitions for industry consolidation, regional expansion, brand building and company restructuring initiatives. We will always insist on board seats of our companies, even for listed companies.”
Demand from both existing and new investors was strong, and the Fund was oversubscribed and closed at its hard cap of USD450 million within several months of its launch in Q4 2017.
“We are very grateful to our existing investors for their trust in us. In fact, many of our existing investors have deep industry experience, and have helped us with more than money – they have proven invaluable in providing proprietary deal introductions, channel checks and business opportunities for our portfolio companies”, said Gerald Chiu, partner at DAPE.
“We are also very happy to welcome our new investors. We now have a much larger contingent of international institutional investors, including sovereign institutions, insurance companies and banks, multi-generational family offices and professional asset managers. We believe these investors will further widen our network to the benefit of our portfolio companies and bring tangible benefits to our businesses. We are truly energized by our investors’ confidence in us and are currently working on finding great companies to partner with”.
About Dymon Asia Private Equity
Dymon Asia Private Equity is focused on making private equity investments in South East Asia. DAPE seeks to make both growth and control investments in companies with profits of between USD5 million to USD30 million.
DAPE Fund I achieved a final close in October 2014 with commitments of SGD300 million and has achieved a net IRR of 30% from inception to December 2017.
About Dymon Asia
Dymon Asia Capital, founded in 2008, is an alternative investment management firm with assets approximating USD4.9 billion (including committed capital and notional assets) across public and private markets as of March 31, 2018. The firm is headquartered in Singapore with core offices in Hong Kong and the United Kingdom. Dymon Asia Capital, which is majority owned by its Partners, established a strategic partnership with Temasek, a Singapore-based investment company, in May 2014.
We are an award winning South East Asia Focused private equity firm, investing in lower mid-market space. Owned and managed by Southeast Asian professionals with multi-year track record of successful investments. We are the private equity arm of Dymon Asia Capital