The fund aims to support a total of 100 startups across pre-seed, seed, and Series A stages, offering initial investments ranging from $250,000 to $500,000.
Venture firm and seed accelerator, 500 Global, has successfully secured $143 million in funding for its largest Southeast Asia early-stage fund to date, named “500 Southeast Asia III” or “500 SEA III”. The round surpassed its initial target of $75 million, closing at $100 million for early-stage investments, with an additional $43 million allocated for growth-stage opportunities.
This latest fund includes a diverse cohort of limited partners, ranging from sovereign wealth funds to public and private pension funds, a university endowment, and select 500 Global portfolio companies valued at over $1 billion.
The focus of 500 SEA III will be on businesses and AI-driven technologies that advance critical sectors including rural digitalization, sustainable cities, healthcare, food security, human and machine productivity, and financial inclusivity.
The fund aims to support a total of 100 startups across pre-seed, seed, and Series A stages, offering initial investments ranging from $250,000 to $500,000. Geographically, the fund will target startups in Malaysia, the Philippines, Vietnam, Thailand, Singapore, and Indonesia.
Southeast Asia continues to emerge as a hotbed for startups, anticipated to be a significant driver of global economic growth in the coming years. In the first half of 2021, venture capitalists made 393 investments in Southeast Asian startups, as reported by Cento Ventures. Moreover, startup funding in the region is projected to surpass $14 billion by 2023, according to a Golden Gate Ventures report.
While the region exhibits immense potential, there are potential regulatory challenges on the horizon. Governments in Southeast Asia are simultaneously introducing initiatives to support tech companies while tightening regulations and increasing taxes on them.
Having already backed more than 340 companies in Southeast Asia over the past decade, 500 Global boasts an impressive portfolio that includes notable names like Grab, Carsome, and eFishery. Christine Tsai, CEO and founding partner of 500 Global, expressed confidence in the region’s potential, emphasizing the unique advantage of their global venture platform with deep local roots and in-market expertise.
Established in 2010 and headquartered in San Francisco, 500 Global manages assets worth $2.4 billion and has supported over 2,800 companies across 80 countries. With a diverse team of approximately 190 entrepreneurs, investors, and operators spread across more than 25 countries, 500 Global stands as a prominent player in the global venture ecosystem.