- AC Ventures is investing $80 Million into startups
- $56 Million has been committed to unannounced startups
- Fundraising for ACV Capital III began before the COVID-19 pandemic
AC Ventures wants to invest in budding concepts and startups with its $80 million ACV Capital III L.P. fund. The firm announced the first close of the fund, with $56 million already committed.
The capital will be investing in 30 Indonesian startups over the next three years. The company’s initial checks of up to $3 million will fund Series A-stage companies.
Based in Jakarta, ACV is a strategic alliance between AC Ventures and Indies Capital. ACV’s founding partners are Adrian Li and Michael Soerijadji, both founders and managing partners at AC Ventures, and Pandu Sjahrir. Sjahrir is also on the board of two Indonesian unicorns, Gojek and Sea.
The alliance has already made investments in nine startups: Shipper, Kargo, Stockbit, Bukuwarung, ESB, Co-Learn, KitaBeli, Aruna, and Soul Parking. It will focus on e-commerce, financial tech, startups that serve MSMEs, and digital media-enabled services, which Li told TechCrunch could encompass sectors like education and healthcare, in addition to entertainment.
ACV also plans to work closely with the companies it invests in, guiding them through business development, key executive hires, and later rounds of funding. It’s also launched programs like AC Academy to coach founders on skills like growth hacking and fundraising.
Internet penetration and online payments have grown a lot over the past five years, but e-commerce still contributes poorly in Indonesia’s retail market. This gives startups plenty of room to innovate. For example, logistics is fragmented in Indonesia, because it has 600 inhabited islands. Shipper, another ACV investment, offers a new platform too. This platform helps sellers manage multiple shipments through different providers at once.
ACV’s Fundraising History
Fundraising for ACV Capital III began before the COVID-19 pandemic. Despite the crisis’ economic toll, Li said that countries like Indonesia may speed up the adoption of technology. For example, BukuWarung, which focuses on digitizing operations for neighborhood shops and other small businesses. BukuWarung recently launched digital payments in response to demand for online orders and contactless payments.
Another ACV portfolio company, ESB, is doing the same thing for restaurants. Li’s audience’s interest in its services increased as food and beverage businesses turned to online orders and deliveries during COVID 19.
“We’re really seeing some great opportunities in Indonesia, and we’re seeing more interest globally going into startups in Indonesia,” said Li. “This is the world’s fourth most populous country and there are so many products and services which can be delivered better and more efficiently through technology.”
