KUALA LUMPUR (March 21): Ekuiti Nasional Bhd (Ekuinas) on Tuesday (March 20) launched a new fund called Dana Asas with a capital commitment of RM100 million to accelerate the growth of Bumiputera medium-scale companies with high growth potential.
The investment amount is RM10 million to RM30 million per investment, said the government-linked private equity fund management company's chief executive officer Syed Yasir Arafat Syed Abd Kadir.
“As what we do with all our investments, we map sustainable growth and aggressive value creation plans. We will also focus on strengthening business fundamentals and capacity development, enabling them to compete effectively in the sectors and industries they operate in,” he said in a statement.
The fund is open to all sectors except construction, real estate, gambling and liquor.
“As these are typically smaller companies, we are looking at holding the investments for between five to seven years. It will be a vigorous transformation for our investees,” said Syed Yasir Arafat.
Economy Minister Rafizi Ramli, who officiated the fund, said the mid-market Bumiputera companies that Ekuinas will select have proven commercial viability and operational excellence to scale.
"The strategic injection of capital, expertise, and network to these companies will accelerate their success. As more entrepreneurs leave their mark on a national, regional, and global scale, more creative and brave Malaysians will try their hand at creating something that is commercially viable and socially valuable," said Rafizi.
Eagle Cliffe (M) Sdn Bhd, which owns Kaisar Farmasi, has been named as its first investee company under DANA ASAS.
Eagle Cliffe, which began operations in 2013, has a chain of 19 Kaisar Farmasi outlets in the Klang Valley with a roadmap to expand to 100 outlets across Malaysia over the course of Ekuinas’ investment period.
This new investment brings Ekuinas’ portfolio of companies to 11, spanning the oil & gas, education, F&B, pharmaceutical and healthcare, technology, manufacturing and retail sectors.