Accelerating Asia, a Singapore-based, early-stage venture capital investor, has so far raised $10 million for its latest fund that will focus on seed to pre-Series A investments, according to an announcement on Thursday.
Accelerating Asia Fund II, which has a hard cap of $20 million, has already received commitments from limited partners of its previous fund, and partners, the firm added.
Fund I has invested in 36 startups across 10 markets and 20 verticals within two years, with its portfolio companies collectively raising $30 million to date.
For the latest fund, Accelerating Asia said it will increase its investment amount into startups to up to $250,000 each, from S$100,000 ($74,000). It will also invest in a wider number of high potential early-stage startups with viable business models, the firm added.
“With the fresh funds, we will be better positioned to take bigger stakes in high-potential startups, working closely together with founders to scale their growth,” Craig Dixon, co-founder and general partner of Accelerating Asia, said.
Accelerating Asia is an accelerator VC that runs programmes for early-stage startups and investors. Licensed by the Monetary Authority of Singapore (MAS), Accelerating Asia’s early-stage VC fund focuses on pre-Series A startups with untapped potential that are 6-18 months away from institutional funding.
The firm also joined Pledge 1%, a global movement to inspire, educate and empower every companies to be a force for good. The team has pledged 1% of the general partner’s carry as a form of corporate philanthropy to contribute to solving development problems across the region.
Accelerating Asia is an Enterprise Singapore-supported initiative. It launched ASEAN Smart Cities Accelerator (ASCA), a joint partnership with the Australian government to support entrepreneurs to develop smart cities in the region.
The launch of Accelerating Asia’s second fund comes after Southeast Asia-based VC firms witnessed muted fundraising during the second quarter of the year, with only two venture funds holding a final close, finds the latest report by DealStreetAsia – DATA VANTAGE.
According to SE Asia’s VC Funds: Q2 2021 Review, the first half of 2021 saw seven funds securing a final close. Though higher than six funds in the same period of last year, the total proceeds raised was 21% lower at $874 million.