Mandiri Capital Soon to Release Two New Managed Funds Next Year

Mandiri Capital Indonesia announce two fund The new ones they will manage next year, namely the Mandiri Venture Fund and the Indonesia Impact Fund. Both have different target segments and are said to already have investors who act as LPs.

“Playing in this startup ecosystem must have sufficient funds under management, with track record for five years investing in startup fintech, we can give return that multiple. So we believe we can start managing funds not only from Bank Mandiri," explained MCI CEO Eddi Danusaputro during a press conference on the 5th anniversary of MCI, Wednesday (25/11).

The LP collection process for the Mandiri Venture Fund has actually started since last year with a target fund of $100 million. However, miss the target desired due to the impact of the pandemic.

According to Eddie, debut fund this will be an opening for MCI to manage more fund the future that comes from high net worth individual (HNWI), family offices, etc.

While, Indonesia Impact Fund (IIF) is targeted to raise $25 million. IIF is managed together with the APEC Business Advisory Council (ABAC) Indonesia. This fund specifically is a little different, because it focuses more on startup investments that focus on creating environmental and social impacts that refer to the five goals in sustainable development goals (SDGs).

The five goals are poverty alleviation, affordable health services, quality and accessible education, increased women's participation, and sustainable cities and affordable housing.

He revealed that there are actually many startups that have the spirit of SDGs, but most of them don't have a startup spirit. This condition poses a new challenge, how do they make their company a sustainable company that has a business.

Nevertheless, he admitted that he already had several prospective companies that were being targeted, although he did not mention further details.

"Lots social entrepreneur those who only think about their business later because they focus on creating first impact social. But we've put together a matrix of how they can do business."

MCI's five-year journey

MCI has invested a total value of IDR 1 trillion in 14 startups since its establishment five years ago. There are three sub-sectors fintech entered by MCI, namely p2p loans, payments, and business solutions. Through this series of investments, MCI has encouraged various innovations and synergies with the Mandiri Group, such as channeling capital to more than tens of thousands of MSME segments, from the conventional business sector to agriculture.

The company's equity position is in the range of Rp1,8 trillion and assets of Rp2 trillion as of September 2020. It is claimed that this achievement places MCI in the first largest position for equity and second for assets compared to other venture capital players in Indonesia.

In the ranks of 14 MCI startup portfolios, interestingly the name appears Gojek. Eddi said that the company had full exit from Moka when fully acquired by Gojek. In exchange, the company gets returns in the form of cash and a minority stake in Gojek. Other portfolios that have exit was Cashlez at its IPO in May 2020.

"The more investment and divestment occurs, the healthier the startup and VC ecosystem will be," he concluded.