East Ventures, a pioneering and leading venture capital firm in Indonesia and Southeast Asia, announced today that it has closed its inaugural GP-led secondary transaction. Led by a global secondary firm, Coller Capital, East Ventures offered limited partners in its East Ventures 5 L.P. (“EV5” or the “Fund”), liquidity, bringing the total distributions-to-paid in the capital (“DPI”) of the Fund to approximately 2.0x. Continuing the success of its predecessor funds, EV5 is a high-performing, top-quartile fund in the East Ventures platform, originally established to invest in seed and early-stage rounds of Southeast Asian technology companies. Coller Capital underwrote the entire transaction.
EV5’s portfolio is anchored by high-profile Southeast Asian technology companies such as IDN and waresix. Many of these companies also feature prominently in later East Ventures’ funds and the secondary transaction emphasizes the firm’s continued conviction in its ecosystem of best-performing emerging companies. The transaction was structured with a component of profit participation, allowing EV5 to crystalize an attractive return for limited partners while retaining participation in the future growth trajectory of the portfolio. East Ventures remains a significant and active shareholder in the companies and a key partner to the management teams who will continue to benefit from the firm’s unique operational value-add, corporate governance, and Southeast Asia-wide ecosystem.
“We are pleased to partner with Coller Capital in a fast and efficient process to design a solution that not only provides our limited partners with an attractive liquidity milestone but also the opportunity to continue our valued partnership with the entrepreneurs and management teams in these companies. We believe the portfolio is well positioned to benefit from the secular tailwinds of the Indonesian growth story, particularly with the rise of its digital economy,” said Willson Cuaca, Co-Founder and Managing Partner at East Ventures.
“We are proud to partner with East Ventures to lead this transaction in Southeast Asia, an exciting market where we see great growth potential. Building on our long-standing relationship, we have delivered swiftly to meet East Ventures’ objectives, providing significant value to their investors. The transaction exemplifies Coller’s expertise in delivering innovative, tailor-made liquidity solutions and building alignment with both sponsors and their limited partners,” said Peter Kim, Partner and Head of Asia and RMB at Coller Capital.
The transaction continues to demonstrate the evolving landscape of the venture capital and secondary market in Asia.
UBS Private Funds Group advised on the transaction.
Gibson, Dunn & Crutcher was the legal advisor to East Ventures while Debevoise & Plimpton advised Coller Capital.
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