3B Ventures, a Danish based venture capital firm focused on investing in Southeast Asia, has announced today the launch of the $60m Frontier Fund II, and will be geared towards impact investing, with a focus on entrepreneurs that are improving the quality of life in a profitable manner.
Key areas of the investments will be in innovations related to Energy, Water, Agriculture, Education, and Health. The fund will be geared towards companies raising seed, bridge, or Series A rounds, in addition to follow-on investments in later rounds.
The fund will be operated out of Kuala Lumpur, lead by newly appointed fund manager, Andrew Tan of TBV Capital. 3B Ventures aims to hire and train local talents to build a strong investment team out of Malaysia. The first investments are expected to be made end 2019.
Impact investing in Sustainable Development Goals is projected to be worth over $12 trillion to the private sector in Business Opportunities by 2030, according to AlphaBeta & the Business and Sustainable Development Commission. The fund is a strong sign for the new era of investing in Malaysia.
“We see such a high quality of startups in the market that have impact integrated in their business. These companies are scalable, profitable and good businesses. Corporates, GLICs and industry leaders recognize this opportunity and show more and more interest to collaborate with startups and VCs. The Government has been very supportive here to facilitate this process” mentions Jan-Cayo Fiebig, General Partner at 3B Ventures.
The growth fund compliments 3B Ventures’ team experience with backgrounds in running award winning accelerators, investment funds and sustainability focused tech ventures, 3B Ventures boasts the experience and expertise to provide extensive hands-on guidance to the companies that they invest in.
3B Ventures has secured initial financial commitments for it’s new fund, and plans to raise the rest from family offices, GLICs, and accredited investors.
“On the macro level we recognize the historic opportunity presented by technology as we look to see how our innovations can impact the lives of the next 3 billion” said John Raabo, partner at IWI technologies and initial investor in Frontier Fund I “We invested in the fund because it has the right strategy and the 3B team has the network, experience and expertise to execute it.”