[SINGAPORE] Asia-focused private equity firm ABC Impact, backed by state investor Temasek, completed the final closing of its second fund at more than US$600 million or around double the size of its first fund.
The ABC Impact Fund II received support from investors including the philanthropic arm of Temasek, Temasek Trust, Asian Development Bank (ADB), Mapletree Investments, SeaTown, a South-east Asia sovereign wealth fund, a US family office, and ultra-high-net-worth individuals.
Tow Heng Tan, chairman of ABC Impact, said: “The successful closing of Fund II underscores the trust that leading institutional investors have placed in ABC Impact’s disciplined investment strategy. By welcoming external capital from the likes of ADB, we are deepening our commitment to shaping a more sustainable and inclusive future in Asia.”
Launched in August 2023, the fund’s investment strategy centres on four priority sectors of clean energy and climate resilience, inclusive finance and digital access, healthcare and education as well as sustainable food systems.
To date, its investments include Aye Finance in India, which provides loans to micro and small enterprises; renewable energy developer Tekoma Energy in Japan, that specialises in solar projects; and one of India’s largest dialysis networks DCDC Kidney Care, which provides underserved patients with affordable treatments.
Its first close was completed in January 2024, with more than US$550 million in assets under management.
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David Heng, chief executive officer of ABC Impact, said that impact investing in areas from climate resilience to inclusive finance and healthcare access presents “both a societal imperative a long-term business opportunity”.
“We believe capital, when directed with intent, can help shape pragmatic, market-led responses to the most urgent challenges facing our region,” he said.
The Asia Impact Fund II builds on the momentum of Asia Impact Fund I and enables Asia Impact to expand its partnerships, extend its reach across high-impact sectors, and back commercially viable solutions with the potential for long-term impact, the firm said.
ABC Impact Fund I – the firm’s inaugural US$300 million fund – has been deployed to 11 portfolio companies from sectors spanning financial and digital inclusion, healthcare, and climate solutions.
