Genesis’ Second Venture Debt Fund Hits US$125 Million

Genesis Alternative Ventures has raised US$125 million for its second venture debt fund, aimed at supporting Southeast Asian startups.

The fund attracted strong interest from existing and new investors, including Japan’s Mizuho Bank and global investment platform OurCrowd.

Returning investors from the first fund include Aozora Bank, Korea Development Bank, Mizuho Leasing, Sassoon Investment Corporation, and Silverhorn.

Genesis’ collaboration with Indonesia’s Superbank, announced in August 2023, will provide up to US$40 million in venture debt to tech startups in Indonesia.

Additionally, Philip Yeo, former Chairman of Singapore’s Economic Development Board, has joined Genesis’ advisory board, bringing extensive experience in technology investments across the region.

Genesis provides debt financing to venture-backed companies, particularly those that are not yet eligible for traditional bank loans due to factors like lack of collateral or profitability.

Fund II has already deployed more than US$20 million to startups across Singapore, Indonesia, Malaysia, and the Philippines.

Genesis has backed a number of fintechs in its portfolio, including Indonesia’s Akulaku, credit scoring companies Trusting Social, and credit management company Flow among others.

Dr. Jeremy Loh, Genesis’ Co-Founder and Managing Partner, said,

“We are grateful for the continued support of our limited partners and pleased to welcome new strategic institutional investor, Mizuho Bank, to Fund II.

The current market has brought about a shift in start-up profiles, with a focus on leaner structures and a profitable mindset. Our portfolio companies exemplify this new direction, positioning themselves for long-term sustainability and success.”

Yasuhiro Kubota, Managing Executive Officer and co-CEO for APAC, Mizuho Bank, said,

“We are delighted to come on board with Genesis on a shared vision in the venture debt space. Southeast Asia continues to be an exciting region with a thriving start-up ecosystem.

We are confident that this partnership will accelerate the growth of promising companies with access to capital, industry networks and expertise led by Genesis.”