One of Australia’s largest venture capital firms Square Peg Capital, with around USD 3 billion in assets under management, is reportedly planning to expand its foothold in Southeast Asia. The firm is presently looking to raise USD 550 million in funding, with a large portion of that going toward Southeast Asian entrepreneurs.

Tushar Roy, a Partner at Square Capital, mentioned that USD 550 million in fresh funding will be split into two parts and is likely to be completed in the following quarter. One is a seed to Series B stage venture fund that will invest in Australian, Southeast Asian, and Israeli tech startups.

The second, dubbed Opportunities Fund 2, will be used to make late-stage investments in the best-performing firms from previous funds.

For those unaware, Square Peg has managed to deploy USD 900 million and has a net IRR of 37% over its lifespan. The company made its first Southeast Asian investment in WeGo eight years ago and its interest in the region has grown significantly since, especially in the last two years.

Roy remarked that the firm went from looking more closely into Southeast Asia to now doubling down its efforts and marks as a critical strategy for the upcoming years.

It is worth noting that the COVID-19 outbreak and remote work have helped businesses scale up by bringing in new employees. Various Indonesian enterprises, for example, have begun to collaborate with staff in Vietnam, Singapore, and India.

Square Peg's next funds will concentrate on software as a consumer internet, service, fintech, health, education, and the future of work, with a rising emphasis on crypto-enabled or Web3 business models. The company is looking forward to working with the founders to help establish themselves quickly.

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https://techcrunch.com/2022/04/18/square-peg-on-building-its-foothold-in-southeast-asia/