Monday, 20 April 2009

Cambodian private equity fund closes on $27m

20/04/2009

Source: AltAssets
http://www.altassets.com

Leopard Capital, a Cambodian private equity firm, has closed Leopard Cambodia Fund on $27m.

The fund's investor base is made up of institutional investors and high net worth individuals from Europe, North America, Asia, and Australia.

The fund, which was launched in March 2008 with an anchor investment of $1,000, will invest in private companies as well as real estate in Cambodia. In terms of company investments, the strategy focuses on venture, expansion and buy-out opportunities in the mid-market. The mandate allows the fund to hold either controlling or minority positions in its investments.

Targeted sectors include financial services, agriculture, food and beverage production, building materials, tourism, and property development.

Leopard Capital expects to take an active role in managing its investments by working closely with the investee companies' management teams on strategic and operational issues such as product development, marketing strategies, executive recruitment, and financial planning and controls.

Douglas Clayton, managing partner of the firm, said, "Fundraising was challenging in the past year's shell-shocked global environment, but we're delighted to have received enough commitments to build a viable portfolio. We look forward to rolling out some very exciting investments in the coming months.

"Cambodia is feeling the chill of the global depression through its garment and tourism sectors, and surely faces a couple of tough years ahead. This slowdown puts us in a favourable position to negotiate investments, as we can put cash on the table when few others are willing or able to.

"But the storm won't last forever and we believe this promising, resilient country will be among the first to sail through it. We hope to get invested before Cambodia's intrinsic secular growth drivers overcome the immediate cyclical headwinds."

Leopard Capital will support the development of Cambodia's stock exchange, which is being developed with support from the Korea Exchange, according to a statement.

Last year, the firm reportedly competed to buy a stake in Acleda Bank, one of Cambodia's largest banks.

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