Insignia Ventures Partners, a Singapore-based venture capital firm, has closed its second fund. Founded by a former Sequoia Capital venture partner, has successfully closed its Southeast Asian to reach the hard cap of $200 million. The oversubscribed fund has accumulated capital from limited partners, including sovereign wealth funds, university foundations and endowments, and family offices from all over Asia, North America, and Europe.
This successful funding highlights the keen interest in the startup scene in Southeast Asia, particularly in Singapore, a country known for its robust startup efforts. Aside from Insignia Ventures, several venture capital firms have previously launched in the region as of this year. Some of these firms include Vulcan Capital and Temasek Holdings Pte.’s Vertex Ventures.
Insignia Ventures’ second fund will direct much of its early-stage tech investments in Southeast Asia.
During an interview, Insignia’s Founding Managing Partner Yinglan Tan shared, “We are doubling down on early-stage technology in Southeast Asia. There is more smart capital and top talent flowing into the region that spurs the formation of great companies.”
In the past, the VC fund have made significant bets in the region, including Carro, a used car marketplace, COCOWORK (formerly EV Hive), a co-working space, and First Circle, an online lending platform.
Tan also shared that Insignia sees Vietnam, Indonesia, and the Philippines are critical markets with bullish returns in terms of investments in the healthcare and education sectors.
Insignia’s debut fund launched in 2017 closed at $120 million, with Pavilion Capital, a Temasek Holding’s subsidiary, as an anchor investor. To date, the venture capital firm’s first fund became the largest inaugural vehicle successfully raised by a firm based in Southeast Asia.
Tan further shared that Insignia can effectively cut above the rest with its hands-on approach with portfolio enterprises. The company has multiple ways of supporting its founders, including the provision of Insignia’s in-house technology for hiring and fundraising.
This hands-on approach, Insignia believes, is what allowed them to successfully raise $200 million in funding for secondary investments that warrant betting in a startup from its current investors and past and present employees.
While the names of the secondaries-driven fund are not publicly available, it is believed to include names of CEOs of Chinese unicorns.
Yinglan Tan is one of the Sequoia’s first Southeast Asian executive who was responsible for sourcing several investment opportunities while he was with Sequoia.