#Indonesia #Jakarta #Southeast Asia #East Ventures #Coller Capital

East Ventures Completes Its First GP-led Secondary Transaction

In a landmark move for Southeast Asian venture capital, East Ventures has successfully finalized its inaugural GP-led secondary transaction with Coller Capital. This strategic partnership not only broadens the horizons for East Ventures but also showcases the growing maturity of the venture capital landscape in the region.

What This Transaction Entails

On January 21, 2025, it was announced that East Ventures, a leading venture capital firm based in Indonesia, has collaborated with Coller Capital, an international player recognized for its expertise in secondary deals. This particular transaction provides liquidity to limited partners in the East Ventures 5 L.P. (“EV5”), significantly enhancing the fund's distributions to an impressive approximate 2.0x DPI (distributions paid in the capital).

The EV5 fund continues to leverage the success of its predecessors and has marked a notable performance, placing it in the top quartile of East Ventures' portfolio. This fund was initially established to focus on seed and early-stage investments within the realm of Southeast Asian technology firms.

A Promising Future Ahead

The portfolio of EV5 includes prominent Southeast Asian technology companies such as IDN and waresix, which have contributed significantly to the fund’s performance. The secondary transaction highlights East Ventures' ongoing commitment to its ecosystem of high-performing emerging companies. The structure of the deal incorporated a profit-sharing component that allows East Ventures to maintain its share in future growth trajectories of its investments, while also providing an attractive return for its limited partners.

Willson Cuaca, Co-Founder and Managing Partner at East Ventures, expressed enthusiasm about the collaboration with Coller Capital. He stated, "We are excited to work with Coller Capital in a swift and efficient manner. This solution not only marks a significant liquidity milestone for our limited partners but also helps us sustain valued partnerships with entrepreneurs and management teams in our portfolio companies. There’s great potential for our portfolio to benefit from the ongoing upward trajectory of the Indonesian growth story, particularly with the rise of the digital economy."

Coller Capital’s Peter Kim echoed Cuaca's sentiment, emphasizing the firm’s pride in leading this transaction in a vibrant market like Southeast Asia. It reflects not only their long-term relationship but also their ability to deliver solutions that fulfill the goals of East Ventures while providing substantial value to their investors.

The Role of Advisors and Further Implications

UBS Private Funds Group served as an advisor for this transaction, while legal counsel for East Ventures came from Gibson, Dunn & Crutcher, and Debevoise & Plimpton advised Coller Capital. This collaborative effort underscores the increasing sophistication of the venture capital and secondary markets in Asia, paving the way for future innovative strategies.

With East Ventures being recognized as a top-performing venture capital firm globally by Preqin and consistently noted as the most active investor in Southeast Asia, the successful execution of this transaction signals a robust future not only for East Ventures but also for the entire Southeast Asian venture ecosystem. As the firm continues to broaden its impact by investing in over 300 start-ups and growth firms within the technology sector, it is clear that East Ventures is well-positioned to remain at the forefront of venture capital in the region. The firm’s strategic direction and commitment to fostering strong relationships with entrepreneurs will undoubtedly catalyze further growth as Southeast Asia continues to evolve as a key player in the global market.