Singapore-based private equity firm Affirma Capital announced that it has agreed to invest $100 million in South Korean cloud managed service provider Metanet Tplatform, which targets to go public in 2023.
The deal marks Affirma’s third investment in South Korea through its 500-billion won ($435 million) fifth Korea fund, Ascenta V. It also marks the largest investment executed by a financial investor in the Korean cloud computing industry.
Metanet Tplatform is the cloud-managed service provider under Metanet Group, the largest digital business platform company in South Korea.
The platform provides optimal hybrid cloud services, from consulting to infrastructure, data, application modernisation, and security to large customers in industries such as finance, manufacturing, e-commerce, retail, and media.
It can also support cloud migration of customers with 1,700 IT personnel, including middleware, database, and application engineers in addition to cloud engineers.
Metanet Tplatform said it will use the fresh funds to further invest in the cloud business over the next three years to accelerate both vertical and horizontal business innovation as well as finance its overseas expansion.
“The investment represents an opportunity for us to take a leap forward in technology advancement as well as business expansion,” said Konjon Lee, CEO of Metanet Tplatform.
Affirma Capital’s Ascenta V made its first investment in South Korea in April by participating in the $181-million pre-IPO funding round of T Map Mobility, a mobility business unit that recently spun off from the telecommunications operator SK Telecom.
It also acquired a 70% stake in South Korean steel manufacturer SeAH FS and a 50% stake in SeAH ESAB for $76.9 million. SeAH FS, a wholly-owned subsidiary of Korean diversified group SeAH Holdings, produces steel tubes for automobiles and home appliances.
Affirma Capital is an emerging market-focused PE with an AUM of $3.5 billion. It invests in buyout and growth capital opportunities in emerging markets including Asia, Africa, and the Middle East. It has offices in Singapore, Seoul, Shanghai, Mumbai, Dubai, and Johannesburg.