The launch of Kenanga Global Unicorn 1 (KGU1) fun was announced by Kenanga Investors Bhd (Kenanga Investors) based out of Malaysia, recently. Unicorn tech companies which otherwise have been quite inaccessible will be made accessible for investment opportunities with this newly set one its kind fund in Malaysia.
According to Ismitz Matthew De Alwis, executive director and CEO of Kenanga Investors, Unicorn companies were much rarer two to three years ago, but now there are between 80 and 100 each year attaining that status that is often associated with signs of a near term IPO.
A term which used to be mainly associated with US- based companies, 30 percent of unicorns today are coming from China making Asia a leader in this area. Ericsenz-K2 Global Unicorn Fund will be fed by the KGU1 fund according to Ismitz Matthew De Alwis.
The main focus of the fund which is headquartered in Singapore is to invest in companies with near term visibility of an initial public offering (IPO) within 6 – 24 months for superior medium-term returns.
A private equity fund Ericsenz Capital and venture capital firm regulated by the monetary Authority of Singapore manage Ericsenz-K2 Global Unicorn Fund which is headquartered in California with a portfolio of mostly late-stage private technology companies and notable exits including Spotify, acts as the fund’s strategic advisor.
At the end of KGU1’s maturity, Kenanga Investors aims to provide capital appreciation to it through investments in the target fund to be measured against a targeted 12% internal rate of return per annum.
With a minimum investment amount of RM100,000 or US$25,000, Investors will be able to invest in their preferred currency of Malaysian Ringgit (RM) or US Dollars ($).