#Singapore #Fund II #ABC Impact #Temasek Trust

ABC Impact Closes Fund II at Over $600 Million

ABC Impact, an Asia-focused impact investment firm, has recently announced the successful closing of its second fund, Fund II, which surpassed $600 million. This significant achievement comes with the support of major institutional investors, including Temasek, Temasek Trust, and the Asian Development Bank (ADB), effectively doubling the size of its first fund.

Commitment to Addressing Asia's Critical Needs

The successful closure of Fund II highlights ABC Impact's commitment to addressing critical social and environmental challenges in Asia through impact-oriented investments. By leveraging the diverse capital from across the globe, the firm aims to meet the growing demand for sustainable solutions within the region.

ABC Impact Fund II has received backing from a varied group of Limited Partners that include not only Temasek and ADB but also institutions such as Mapletree Investments and SeaTown Holdings, as well as individual investors. The collaboration between development finance and private equity signifies a growing consensus that impact investing can effectively address systemic issues through market-driven approaches.

According to Benoit Valentin, Head of Impact Investing at Temasek, this partnership plays a crucial role in Temasek's strategy. He emphasized that in a rapidly evolving world, we face increasingly complex social and environmental challenges. With ABC Impact, they believe that capital can be scaled to address these urgent issues. Together, they aspire to create a more inclusive and sustainable world for future generations.

Jackie Surtani, Regional Director of ADB, also shared insights on the growing impact investment landscape in the region, stating that it continues to develop in response to significant financing gaps for growth-stage businesses. Surtani highlighted ADB's investment in Fund II as a reflection of its determination to catalyze impact capital across Asia and the Pacific. The goal remains to improve lives and livelihoods by supporting innovative businesses that tackle urgent social and environmental issues.

Strengthening a Shared Vision for Asia

Tow Heng Tan, Chairman of ABC Impact, expressed that the successful closure of Fund II reinforces confidence among leading institutional investors in the firm's disciplined investment strategy. By welcoming outside capital from institutions like ADB, they deepened their commitment to shaping a more sustainable and inclusive future for Asia.

David Heng, CEO of ABC Impact, shared his belief that capital can pragmatically and market-focused responses to the region's most pressing issues. Investments across areas like climate resilience, inclusive finance, and access to healthcare represent both a social obligation and a long-term business opportunity, he stated.

Prioritized Sectors for Impact Development

In a world facing increasing climate shocks, inequality, and economic uncertainty, Fund II is dedicated to focusing on practical solutions in areas traditionally overlooked. The investment strategy of Fund II revolves around four priority sectors:

• - Clean energy and climate resilience,
• - Inclusive finance and digital access,
• - Health and education,
• - Sustainable food systems.

Current investments include Aye Finance, which provides credit to micro and small businesses in India, Tekoma Energy, a renewable energy developer specializing in solar projects in Japan, and DCDC Kidney Care, one of India's largest dialysis networks that offers affordable treatment to underserved patients.

Making Investments Responsive to a Diverse Region

The economic and demographic dynamics of Asia continue to create opportunities for innovation in the impact space. However, the region's complexity calls for both grounded and adaptable investment approaches.

David emphasized that while policy can accelerate change, it is ultimately market demands, capital flows, and competitive forces that drive adoption and scale. The businesses they invest in are not waiting for external signals; they are actively shaping the future by addressing critical needs in effective and financially sound ways.

Building on the momentum of Fund I (2019-2024), Fund II enables ABC Impact to expand its partnerships, enhance access to high-impact sectors, and support commercially viable solutions with long-term impact potential.

Looking Forward with Purpose

Impact investment is increasingly seen not as a trade-off but as a strategic advantage. ABC Impact's approach is rooted in the belief that financial strength and social benefit can and must progress together.

Tow concluded, "Our progress was made possible by the trust and collaboration of our investors and partners... Together, we demonstrate that financial success and positive impact are not only compatible but mutually reinforcing."

END
For investor and media inquiries, contact Jeffrey Fang, Head of Investor Relations at [email protected].

About ABC Impact

ABC Impact is a Pan-Asian impact investment firm dedicated to delivering risk-adjusted financial returns and measurable social and environmental outcomes through sustainable growth. With assets under management exceeding $900 million, the firm follows a disciplined and thematic strategy to invest in high-potential businesses addressing Asia's most pressing issues. Their portfolio includes climate and water solutions, sustainable food and agriculture, health and education, and financial and digital inclusivity. ABC Impact is a member of Temasek Trust Asset Management and is backed by Temasek, ADB, and other leading institutional investors. Adhering to the Principles for Responsible Investment and Impact Management Working Principles, ABC Impact implements a rigorous, evidence-based framework for impact measurement and management, committed to mobilizing private equity for a more sustainable and inclusive Asia.

For more information, visit www.abcimpact.com.sg.